A PROMINENT warehouse/trade counter investment in Co Armagh, let to tools and hardware retailer Screwfix, has been put on the market by commercial property agents Savills for £430,000.
Located in Lurgan, the unit occupies a prominent location on Millennium Way, where its neighbouring occupiers include Lidl, James Hamilton Group, Cake Décor, Boots, Lurgan Tyre Centre and Tesco superstore.
The property was purpose-built as a retail warehouse as part of a batch of four units on a self-contained site which benefits from free car parking.
The unit has an approximate internal floorspace of 5,000 sq ft (465 sq m) and was let to Screwfix for a period of 10 years from April 2014.
But the tenant did not exercise its option to break with effect from April past, providing investors with four and a half years remaining on effective full repairing and insuring terms.
Jamie Radcliffe, senior investment surveyor at Savills NI, said: “Screwfix is the UK’s largest multi-channel retailer of trade tools and hardware products with 650 stores nationwide.
“The opportunity provides investors with an excellent Dun & Bradstreet tenant credit rating of 5A1 representing an excellent covenant with secure financial strength and low overall business risk.
“The opportunity also benefits from planning approval for the sale of open class A1 goods from the unit.”
Savills is seeking offers in excess of £430,000 for the client’s freehold/long leasehold interest, exclusive of VAT and subject to contract. An acquisition reflects a net initial yield of 7.52 per cent assuming purchasers’ costs of 4.36 per cent.
