West Midlands based property experts Real Estate Investors (REI) have invested £1.275 million into property that is the home to some big high street names on 62-68 High Street in Bromsgrove, which is set to provide a rental income of £114,220 per year.
Boots Opticians, Thorntons, Smart Ideas and Loritas Bakery are all big names that are based at these properties, and this purchase will represent a net initial of 8.45%, further improving REI’s property portfolio which is constantly on the increase.
“This is an excellent addition to our portfolio, offering scope to add further value from lease extensions and re-letting of the upper parts and unused ancillary space, which will provide us with capital growth and a strong running yield” commented the chief executive officer at Real Estate Investors, Paul Bassi. “More generally, the property portfolio is performing well.”
REI will be expecting even more sales now within the properties that have been completed in accordance to the company’s asset management initiatives, after seeing an improvement in the regional investment market recently.
“We have several ongoing sales and acquisitions in our legal pipeline, with a healthy addition of new lettings and lease renewals from within the existing portfolio, which will enhance rental income and our average lease lengths” Bassi continued. “In addition, the company has significant additional capital from rental income, property sales and bank facilities to continue to grow the portfolio and generate additional rental income to support our dividend growth. while retaining a portfolio in the region of £200 million.”
This exchanging of contracts that has provided REI with the 6,000 sq ft. property is a big move that sets out the company’s ambitions, and you can probably expect to be hearing some more announcements in the near future which will further continue REI’s broad portfolio and increase their stature within the sector.