Bank HQ sold in multi-million pound deal

YORKSHIRE BANK’S headquarters in Leeds have been sold for £16m.

CBRE Global Investors represented by property advisors Savills made the deal, reflecting a net initial yield of 7%.

A private Spanish investor has acquired the property, which offers 76,344 sq ft of office space across five floors and has been let to the bank since it was built in 1980.

The annual rental income is £1.19m, with circa nine years unexpired on the current lease.

Located at Twenty Merrion Way, the building is adjacent to the First Direct Arena and Merrion House.

The latter is being redeveloped as a 170,000 sq ft headquarters for occupation by Leeds City Council.

Simon Lister, investment director at Savills, said: “This asset combines a secure income with excellent development prospects and an integral position in a booming area of Leeds city centre. We received significant interest from both overseas and domestic investors, and are very pleased with the strong sale price achieved.”