£2.5m deal for warehouse in prime capital spot

A WAREHOUSE building in Cardiff which is leased to retailer Carpetright has been sold in a £2.5m property investment deal.

MVJ Capital, advised by international real estate advisor Savills, has acquired the 30,440 sq ft retail unit from PMG, in a transaction reflecting a net initial yield of 7.50%.

The unit, which is fully let to Carpetright on a seven-and-a-half-year unexpired lease, generates a rent of £200,000 per annum.

It is situated on Newport Road, one of the prime retail warehouse locations in the city.

Nearby occupiers include Lidl, Dunelm, Marks and Spencer, Sainsburys, Costa Coffee and a Burger King also owned by MVJ Capital which adjoins the property.

Ross Griffin, investment director at Savills Cardiff, said: “We are delighted to have acquired this prime retail asset for our client. The unit’s location on Newport Road places it at the heart of Cardiff’s out-of-town retail offering whilst maintaining close proximity to the city centre.”

Matthew Pearcey, of MVJ Capital, said: “We are extremely pleased in adding this acquisition to our ever growing portfolio in Cardiff and Swansea.

“Newport Road has long been Cardiff’s prime out-of-town retail area and our focus is to acquire similar properties in the area over the coming years.”

Cooke & Arkwright advised PMG.