JD Wetherspoon has completed the £5.6m purchase of a property in Newcastle just a month after announcing plans to sell 34 pubs across the country.
The Union Rooms was sold by K/S Westgate, which was represented by Savills, with the deal reflecting a net initial yield of 5.75%.
The five-storey property is let in its entirety to Wetherspoon until 2034, and the pub chain is set to benefit from its location opposite Central Station.
“This acquisition forms part of JD Wetherspoon’s ongoing strategy to purchase the freehold of assets which are trading well in order to maximise profits,” said Nick Lyell, Associate Director of Licensed Leisure at Savills.
“The new student accommodation developed on an adjacent site is likely to boost trade even further and we are pleased with the strong sale price achieved.”
Last month, JD Wetherspoon announced plans to sell 34 pubs across the UK, which, together generated sales of over £38m a year.
JD Wetherspoon has completed the £5.6m purchase of a property in Newcastle just a month after announcing plans to sell 34 pubs across the country..
Leave a comment