Manchester based property investment company, Property Route, has acquired Eastgate Properties in a share purchase valued at £11.5million.
The deal means Property Route will acquire Eastgate Properties’complete portfolio of 60,000 sq ft of office, retail and industrial buildings located throughout England.
In the North West, the portfolio includes 3,000 sq ft of commercial office space at Brunswick Street, Oldham.
The properties are occupied by 30 tenants, including Barclays and CGU Life Services, and will provide Property Route with a total rental income of £700,000 per year.
This is the first company acquisition for Property Route, which has traditionally invested in commercial and residential properties to rent in the North West and South East.
David Pelham, commercial property director at Property Route, said: “We’ve traditionally focused our attentions on the North West market, but as the company grows we are now confident in looking further afield and will continue to consider purchases in all parts of the UK if we feel the deal is right.”
Derrick Barrett, associate director of Bank of Ireland which funded the deal, adds: “Bank of Ireland, Manchester is delighted to have been involved with the funding of the Eastgate acquisition, which helps to cement our 10- year relationship with Property Route. We are looking forward to continuing our relationship with future acquisitions as Property Route continues its growth strategy.”
Alison Key, a commercial property partner at Beachcroft also advised Property Route on the deal.