Manchester B&M changes hands in £4.5m deal
Edinburgh-based Buccleuch Property has acquired the retailer’s 52,000 sq ft Hyde Road store from Rajan Trading.
The £4.5m purchase of the B&M store was completed off-market and reflects a net initial yield of 6.25%.
The Gorton building, which occupies a 3.5-acre site two and a half miles from Manchester city centre, is let to discount retailer B&M until December 2027. As well as the store building, the asset includes an adjoining garden centre.
Philip Eves, director at Buccleuch Property, said “We continue to seek investment opportunities in asset classes with good rental growth prospects across core UK locations.
“This is a great addition to our portfolio, providing secure income from a national retailer and located on a major arterial route leading into Manchester city centre.”
Colliers advised Buccleuch on the deal. Harlex is also involved in the deal as development manager.
Tom Lathwood, development manager at Harlex, said: “The property’s prominence and proximity to Manchester city centre makes this both an excellent short and long-term purchase.
“This acquisition further enhances Buccleuch’s portfolio and evidences the strong investor confidence in the North West market.”
While the Hyde Road B&M traded off-market, earlier this year Yorkshire-based Bramall Properties launched the sale of a 31,000 sq ft B&M in Accrington, seeking £4.3m.
The Accrington property is let to B&M until June 2027 and generates just shy of £300,000 a year in rent.
Elsewhere in Greater Manchester, Buccleuch also owns Irlam Business Park. The firm acquired the multi-let scheme for £4.72m in 2017.
Buccleuch bought the 82,000 sq ft scheme from Standard Life.