Travelodge, Goldington Road, Bedford, MK41 0DS
Atlas Real Estate has recently completed the sale of a Travelodge investment on behalf of Tencent Holdings.
The property is located on the Goldington Road in Bedford adjacent to Toby Carvery and Greene King public houses. The property comprises 47 bed Travelodge hotel.
The property is let in its entirety to Travelodge Hotels Ltd for a term of 25 years from March 2011. The lease is held on FRI terms subject to 5 yearly upward only reviews to uncapped RPI. The next review is due in March 2016.
The current rent is £85,000 per annum. The vendor topped up the rent to the 2016 rent review which was forecasted to be £95,278 per annum
The purchase price of £1,460,000 reflects a net initial yield of 6.17%, assuming purchaser’s costs of 5.80%.
The purchaser was Union Property Services, represented by GVA.