The Agency team of PAI member Vickery Holman have completed on the sale of two retail investments and the letting of a retail unit in Newquay.
The first investment is 19 Cliff Road, Newquay (pictured above) let to Luxury Brands Investments Limited to provide a café/restaurant on the first floor and a delicatessen on the ground floor. The property is let until the 10 May 2031 at a combined rent of £28,000 per annum on effectively full repairing and insuring terms. There are five year rent reviews with no breaks.
The second is 1-2 Beacon Road, Newquay let to a local trader as a surf ware outlet. Effectively full repairing and insuring for a term ending 30 March 2021 at a rent of £12,000 per annum. The sale was for a long leasehold interest of 999 years.
The first sold for £385,000 which equates to net yield of 7% allowing for a purchaser’s cost at 3.4% and the second for £170,000 which equates to a net yield of 6.9% allowing for a purchaser’s cost at 2.08%.
Finally 28-29 East Street was let to Newquay Pet Centre on a new lease direct from the private landlord. The pet food and equipment operator have relocated from Birmingham to establish a new store in Cornwall.
Will Oldrieve of Vickery Holman’s Truro Office comments “If you are going to invest in Newquay why not a surf shop and restaurant both were very popular due to the proximity of the beach and famous surf. Newquay is really starting to develop well and has been recognised by investors and occupiers who are keen to benefit from future growth of the town. We are currently looking at other opportunities in Newquay but are always happy to talk with new owners and investors”.