Bromwich Hardy have acted as joint agents in agreeing a sale to a fund managed by Clearbell Capital which has completed its acquisition of Earlsdon Park, Coventry, from the receivers to MCD (Coventry) Ltd.
Earlsdon Park is a mixed-use scheme which comprises 100,000 sq ft of offices, 8,000 sq ft of retail, a 100 room hotel, a 620 seat theatre and 476 car parking spaces.
The site is located 0.6 miles from Coventry town centre and near to J2 and J3 of the M6 and J15 of the M40, giving the site direct access from both the North and South of England.
Earlsdon Park is 62% occupied by four tenants: the Department for Education, Premier Inn, The Albany Theatre and the National Association of School Business Management. The asset generates rental income of £1.6m pa, with an average rent of £18 per sq ft across the office element. The acquisition represents an initial yield of 6.9%.
Clearbell said that for the six-months to the end of Q1 2015, the demand for office space in Coventry increased by 20% from the previous six-months.
Rob West, Partner at Clearbell Capital, said: “Clearbell has an established track record of generating high returns via intensive asset management and well-executed development projects. Earlsdon Park has real potential in both respects. Coventry has just 60,000 sq ft of grade A office availability and growing demand led by the growth of the automotive industry, the excellence of Warwick University and rail and road connectivity.”
Clearbell was advised by XLB, who will be retained going forward with Savills. BNP Paribas and Bromwich Hardy advised the receivers.
Bromwich Hardy will be retained with Savills as joint letting agents for the scheme.