Property overview

Franck-Steier Price Ltd (FSP) has recently completed the acquisition of this convenience store investment in North Anston.

The new convenience store is to be built in the town centre adjoining an existing pub. Tesco will be responsible for building their own store of 3,125 sqft. There will be 25 shared car parking spaces with the pub.

The property is let to Tesco Stores Ltd, the lease commenced on purchase for a term of 20 years with a tenant only break at Year 10. The initial rent of £55,000 per annum is reviewable 5 yearly to RPI with a collar and cap of 1-4%.

Acting on behalf of a private investor client the investment was bought for an initial sum of £540,000 with a further £200,000 payable to Tesco on completion of the unit.

The purchase reflected an initial yield of 9.63% reverting to 7.13% following payment to Tesco. Fawcett Mead represented the vendor.