A four-story office block in a Black Country town centre has been soldg by auctioneer Bond Wolfe for £2.75 million.
Landchard House, a 26,000 sq ft building in Victoria Street, West Bromwich, with multiple tenants generating strong rental income, has been bought by a private investor at a time of increasing demand for income-producing office buildings.
The property is fully let, with tenants including Fields Accountants, Regency Publicity and Black Country Women’s Aid, and it produces a total rent of £245,506 per annum, with the sale representing a net yield of 8.39%.
James Mattin, managing director agency at Birmingham-based Bond Wolfe, said: “We are delighted to have concluded another investment sale in what has been a very busy quarter for transactions.
“We have seen an increase in demand from investors looking for multi-let buildings such as Landchard House, rather than being reliant on income from one tenant in uncertain times.
“This asset has historically always had high occupancy largely driven by its close proximity to the local bus station and extended Metro line, which connects West Bromwich to Wolverhampton, Birmingham city centre and beyond.
“The purchaser was looking for reliable income from a proven asset and Landchard House certainly fulfils that brief.”
The sale comes off the back of Bond Wolfe’s other recent investment sales including the substantial sale of Douper Hall in Selly Oak, a McDonalds anchored sale in Leamington Spa, and a portfolio of retail investments in Acocks Green, Birmingham.
Bond Wolfe’s combined investment sales have exceeded £110 million so far in 2022.