A city centre office building has been sold to property company YPP on behalf of its Middle East based client for £9.3m.
The price for Westgate Point Leeds reflected a net initial yield - the rent generated by a property expressed as a percentage of its valuation - of 8.9 per cent.
The eight-storey office building, which comprises 46,806 sq ft, is let in its entirety to Weightmans with just over four years unexpired lease term.
YPP, represented by Cushman & Wakefield, WSB Property Consultants and Schofield Sweeney acquired the building from an undisclosed vendor, represented by Lisney.
The building, which was built in the late 1980s, was previously sold in 2004 to an Irish investor for nearly £13m. Cushman & Wakefield refused to say if that was the last transaction.
Westgate Point is prominently located on an island site approximately half a mile north west of Leeds train station on the edge of the traditional office district.
Richard Brooke from Cushman & Wakefield’s capital markets team in Leeds, said: “The acquisition of this landmark office building represents a strategic deal for YPP.
“The investment provides solid income over the medium-term at an attractive yield, as well as offering a range of asset management options beyond the current lease.”
Farooq Zar, from Schofield Sweeney’s Commercial Property team, added: “I am delighted to have advised YPP and its client on the purchase of such a high profile office building which offers fantastic opportunities for the future.”
She added: “YPP continue to go from strength to strength and it is a pleasure to work with them.”
In October, YPP, on behalf of its clients, acquired 23 Butts Court, an office building in the centre of Leeds for an undisclosed price.