IFPT sells BT office building in West Bromwich for £19.5 million
The BT office building in West Bromwich has been purchased for £19.5 million.
Invista Foundation Property Trust has exchanged contracts for the property with an unnamed buyer.
One of the largest new office space developments in West Bromwich has been sold to an unnamed buyer for £19.5 million.
According to reports, Invista Foundation Property Trust has exchanged contracts for the BT office building close to the town centre. The building, which was only recently completed, offers around 75,000 sq ft of space and is currently let to British Telecoms on a 15 year lease.
IFTP initially committed to buy the property, which is also known as All Saints, in February 2010 and went on to acquire the property in October 2011 for £14.86 million. It’s believed the latest sale to an unnamed buyer represents an initial net yield of just under 6%.
The BT office building is located close to the M5 motorway junction and is the first office space development to be completed in West Bromwich for many years. It was developed by Bimringham’s Stoford in conjunction with Sandwell Council and Advantage West Midlands who contributed £11 million to the development.
It’s thought the sale will allow Invista to either take part in higher yielding investment opportunities or reduce their current debts.
Commenting on the transaction, Invista’s Duncan Owen said: Commenting, Duncan Owen, said: “We are pleased to realise a significant gain over the acquisition cost. The property benefitted from the new letting on a long lease, which is fashionable in the current market and therefore attracted a premium pricing.”