Property consultants Alder King have disposed of the freehold interest of Palace Chambers, a terrace of five Grade II listed properties in Stroud with development potential. The purchaser is the London-based property investor Shallosquare which secured the investment for £900,000, reflecting a net initial yield of 7.71%.
Palace Chambers commands a prominent position at 38-42 London Road close to Stroud town centre. The property currently provides 5,584 sq ft of lettable offices and has planning permission to extend numbers 38 and 39 to provide an additional 2,153 sq ft of accommodation.
The multi-let office investment was close to 100% occupied at the point of the sale, demonstrating the strength of tenant demand in this location and underpinning the property value.
John Hawkins, associate at Alder King, acted for the vendor Palace Chambers Properties.
He said: “We continue to see strong demand for quality investments in the region. With limited opportunities, properties that do come onto the market generate significant interest.
“This investment disposal will provide a good return for the investor and shows confidence in Stroud as a business location.”