Development Securities has sold its House of Fraser department store on
The company said the buyer was a pension fund managed by Rockspring Property Investment Managers.
It added the sale reflected a net initial yield of 7.09%.
The 92,318 sq ft building is let to House of Fraser until 2039.
Matthew Weiner, investment director at Development Securities, said: “In disposing of this asset we are crystallizing the significant increase in its value which has occurred since we acquired it in July 2009.
“We feel that the market momentum behind this recovery in capital values has now peaked and we have identified a number of opportunities for reinvestment where there is greater scope for our asset management skills to be applied to generate out-performance.”
The company said it bought the freehold of the property for £10.5m in August 2009.
nathan.cross@estatesgazette.com
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