Tritax Big Box buys Argos distribution centre for £74m

Tritax Big Box REIT said it had bought the Burton-upon-Trent national distribution centre of retailer Argos for £74.65m.

The deal reflected a net initial yield of 5.55%, Tritax said, adding that the purchase had been funded from equity proceeds, with senior debt finance expected to be introduced in the near term.

The property is let to Argos Limited with an unexpired lease term of approximately 12 years and benefits from fixed annual rental increases of 3%, Tritrax said.