Overseas Investments: Irish-based property company Ellier Developments Ltd has announced a substantial €26.536 million investment in the UK for a portfolio of six large high street retail units in Chelmsford, Essex.
The company acquired the freehold interest in 36 and 38 High Street and Units 3-7 at Grays Brewery Yard. Lease holders include McDonalds restaurants and Next on the high street and Laura Ashley, Field & Trek, Early Learning Centre and Habitat in Grays Brewery Yard. The latter is a former 19th century brewery complex.
The current rental income of €1.295 million per annum exclusive, reflects between €2,668-€2,691 per sq m (€247.86-€250 per sq ft) on the high street units and between €615-€861 per sq m (€57.14-€80 per sq ft) on the brewery yard units. The purchase price indicates a net initial yield of 4.51 per cent.
The purchase reflects the continuing interest from Irish-based investors for good high street opportunities in the UK. The stamp duty differential between Ireland and the UK continues to fuel the outflow of Irish funds and makes Britain a key target for investment.
The acquisition represented an ongoing strategy by Ellier to acquire key investment properties across Europe to compliment its existing investment portfolio, according to a statement from the company.
Jackson Criss represented the vendor, while Donaldsons acted on behalf of the purchasers.
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