Mystery investor buys Halfords HQ for £21.25m
THE Redditch head office and distribution centre of leisure and automotive parts retailer Halfords has been sold to an unnamed private investor for £21.25m.
The premises – which was put up for sale in November – comprises 357,000 sq ft of warehousing and offices on the 21.15 acre Washford Industrial Estate in Redditch.
Halfords holds a 25-year lease with 15 years unexpired.
The premises currently produces a rent of circa £1.7m per annum with a rental increase to circa £1,900,000 per annum from March this year.
The Manchester office of Sanderson Weatherall was instructed to seek offers for the freehold interest of the site, equating to a net initial yield of 7.19% and increasing to 7.94% after the rent rise in March.
David Murray, a partner at the firm, secured the sale on behalf of insolvency specialist Duff & Phelps to an unnamed investor based in the North West of England and represented by Craig Barton, an investment director in the Manchester office of property adviser DTZ.
Duff & Phelps had been appointed as receiver to the Brightside Property Limited portfolio which included the Halfords site and appointed Sanderson Weatherall to manage a sale.
Murray said: “This was an extremely rare opportunity to acquire such a high profile occupier. Halfords is a leading UK retailer with an iconic brand and offering a substantial HQ building on institutional lease terms.
“This is without doubt one of the most significant investment sales outside of London. We expected and got high levels of interest from domestic and international investors and are delighted to have sold on to a blue chip investor.”
The property – which had a guide price of £22.5m – was subject to a sale and leaseback by the retailer in March 2004.
