Specialist investment fund LaSalle Investment Management Kapitalanlagegesellschaft has bought two properties in Glasgow and Edinburgh.
LaSalle KAG has paid £24.5m (€31m) for a store on Glasgow’s so-called Style Mile. Nike occupies the unit as a flagship store on a 15-year lease with an initial rent of £1.3m (€1.6m), reflecting a net initial yield of 5%.
The Edinburgh property, on Princes Street, was bought for £34.1m (€43.3m), reflecting a net initial yield of 5.5%. The eight storey building has two tenants. British high-street fashion chain New Look occupies a 2,415 m2 store on a 20-year lease, and there is a 97-bedroom Premier Inn Hotel on a 19.5-year lease.
LaSalle KAG, established in 2011, aims to invest €200m in office and retail properties in prime locations with long-term leases. Its geographic focus is on Germany, France and the UK.
The fund already owns four properties in Germany, including offices in Ratingen and Frankfurt, as well as retail properties in Koblenz and Garmisch-Partenkirchen.
