Industrial estate and budget hotel sold in deals worth over £18m

Leeds 27, on Bruntcliffe Industrial Estate in South Leeds, has been sold by F & C REIT Asset Management to InfraRed Capital Partners for just over £16m which reflects an 8.5 per cent net initial yield.

The estate, which is let to six tenants, comprises seven detached warehouse units totalling 331,873 sq ft. It generates an annual rental income of £1.4m.

Property agents Jones Lang LaSalle and Woolhouse Real Estate advised on the deal.

Meanwhile, a 62-bedroom Travelodge in the heart of a £10m regeneration scheme has been sold for £2.55m.

GMI Developments, based in Leeds, sold the hotel on Leeds Road in Huddersfield to CRT Property Investments.

It was completed in 2011 as the final phase of GMI’s Spindlegate scheme.

In addition to the Travelodge, the Spindlegate scheme also includes: an employment site with around 40,000 sq ft of commercial space which is being proposed by Stead Commercial Estates, The Yorkshire Rose pub which was built for Marstons in 2010, a former church which has been sold to a charitable trust for office conversion and a drive-thru Costa Coffee which CRT Property Investments bought early last year.

Chris Gilman, managing director of GMI Developments, said; “We are delighted to have completed the sale of the Travelodge to CRT Property Investments Ltd following their earlier acquisition of the popular Costa drive-thru.

“The Spindlegate scheme has been continually supported by local stakeholders and also investors seeing the potential of the site’s offering and positioning.

“This scheme compliments the other regeneration schemes we have been involved in over the last few years in Huddersfield.”

DTZ represented the CRT Property Investments whilst Woolhouse Real Estate represented GMI Developments.