Burnley Homebase building changes hands

A HOMEBASE unit in Burnley has been sold for £4.7m.

The 25,000 sq ft property at Ashfield Retail Centre is leased to the DIY chain at £337,500 a year until 2029.

It has been sold by the Leeds-based Gregory Property Group to an unnamed retail fund. The deal represented a net initial yield of 6.69%.

Richard Tovey, a director at Gregory Property said: “We purchased the former car showroom site in 2005 when this area of Burnley was starting to see major regeneration and undertook the single unit development in late 2008. The location is now an established retail area with many of the major food and non-food operators close by.  

“Also, the decision by Burnley College to locate on the adjoining site has further strengthened this part of the town. With no other DIY stores in Burnley, the investment will be an attractive asset for the purchaser.”

Gregory was advised by BNP Paribas Real Estate, while the purchaser was advised by Lambert Smith Hampton in Birmingham.