A retained client of LaSalle Investment Management, advised by Jones Lang LaSalle and Lewis Ellis, has acquired a block of retail on New Street in Birmingham.  Known as Caxtongate, the property was sold by Irish investor, Cosgrave Group.  The price paid was £16 million, reflecting a yield in excess of 6.5%.

With frontage to New Street and Cannon Street, the Grade II Listed property comprises approximately 33,000 sq ft and has a strong tenant line up with retailers including Ted Baker, White Stuff, T.M. Lewin, Jigsaw, Muji and Hawes & Curtis.  The average rent is approximately £160 per sq ft Zone A and weighted average unexpired lease term is 7.2 years. 

Ed Gamble, head of Jones Lang LaSalle's National Investment team in Birmingham, said: "Caxtongate is an attractive retail block situated on one of Birmingham's prime pedestrianised trading pitches in close proximity to New Street station.  With an existing tenant line-up of quality retailers the asset offers further management opportunities for our client to improve the income profile and occupier mix.  The new £100 million John Lewis store and redevelopment of the station and existing retail should strengthen Caxtongate also."

Morgan Williams advised Cosgrave Group.