137-167 Fulham Road & 9 Pond Place, London SW7Posted on February 28, 2016
In January 2016 Clay Street completed their first ever deal on behalf of Pramerica Real Estate Investors.
Sourced and acquired in an off market capacity, terms were agreed and a deal closed to acquire an off shore SPV, the single asset within the vehicle being the prime Knightsbridge parade 137-167 Fulham Road.
The property is held by way of a virtual freehold interest and comprises eight retail units let to six tenants with one vacant unit.
The accommodation extends to approximately 25,000sqft with low passing rents of between £120- £220 ITZA.
We believe that this section of Fulham Road is in the process of making a step change in Zone A rents and recent nearby letting evidence provides the potential to substantially increase the current tone.
The deal was closed at £45.8m reflecting a net initial yield of 3.4% and a reversion to in excess of 6.0%.