Investor swoops for retail unit

A PRIVATE investor has snapped up a retail unit for £2.25m.

The Capital Markets team at CBRE in Leeds has sold 5 Stonegate in York, which is let to clothing retailer Joules, to a private investor, reflecting a net initial yield of 5.39%.

CBRE sold the property on behalf of CBRE Global Investors.

Joules has occupied the unit since July 2011 when it agreed an 11 year lease.

Robin Bullas, associate director of capital markets at CBRE Leeds, said: “With a catchment population of some 5.9m and impressive retail spend levels, it is easy to see why York is the fourth most sought-after retail centre in the UK by retailers’ requirements. Prime freehold retail investment opportunities, such as the Joules unit, attract good investor interest due to the strong covenants and the 5 Stonegate property occupies one of the best retail spots in the centre with superb footfall.

“Transactions of this nature demonstrate the investor appetite for retail accommodation within the Yorkshire region and all contribute to the long-term recovery of the property sector.”