The team advised on the rental levels, values and other factors impacting on marketability and price, such as the term and type of lease and the condition of the property. Draft leases were prepared prior to marketing which were reviewed by the team. The team placed the properties in the open market in two tranches as individual investments quoting a range of yields varying from 6 to 6.5% net.

In both cases, the properties were well received with a number of offers in excess of the asking price. The properties went to best offers and achieved a price and yield way in excess of client expectations.

Pre-disposal support was provided by Vail Williams’ specialist building consultancy team who produced photographic schedule of conditions for each property.

The sale and leasebacks represented highly attractive investment opportunities for investors due to the covenant strength, lot size and lease terms.

Disposing of these investments, allowed the Southern Co-operative to reinvest this capital elsewhere within the company.

The deals generated over 50 enquiries with most parties submitting an offer for either individual properties, two properties or portfolio offers. This required expert advice to negotiate and bring it to fruition.

Action taken
  • Carried out an in-depth rental analysis on each of the properties
  • Provided structural and condition advice on each of the properties before marketing
  • Negotiated best price possible for client

Result

As a result of our expert knowledge, the Southern Co-operative was able to dispose of six assets.

The client has now generated capital to reinvest elsewhere within the company.

“We continue to use Vail Williams for the majority of our investment work in a property management, valuation, acquisition and disposal capacity throughout our trading region.

"In our two most recent divestment phases Vail Williams have surpassed our expectations on value achieved. We have over the last financial year added a number of acquisitions to our investment portfolio with Vail Williams acting both in direct acquisition and in providing retained investment advice on third party acquisitions.

"We consider Vail Williams' investment advice to be solid and we continue to see them as our preferred local supplier for all aspects of property investment."

Daniel Bowyer, Head of Property, Southern Co-operative


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