The retail market is the scene of major change but despite rumours to the contrary small investments such as Modbury Court in South Devon remain popular.
PAI members Vickery Holman have just completed the sale of Modbury Court in the heart of this attractive South Hams town. A courtyard of 7 lock up shops and offices including the Tourist information office.
Producing a net income of £21,030 pa excl. from 6 tenants on a range of short term leases the property sold for £280,000 reflecting a net initial yield of 7.3% allowing for purchasers cost of 3.1%.
Mike Oldrieve, Head of Vickery Holman Investments, comments “Modbury is a popular town and the sale to a local investor provides them with a good initial return and scope to improve this in the future. Retail maintains its attraction to the smaller investor and we currently have another shop in Queen street Newton Abbot under offer and another in Truro still available which will produce an 8%+ return from a good tenant”.