MCKS : McKay Securities expands redevelopment site in Woking
McKay Securities has announced the acquisition of The Planets in Woking. The building occupies a site of just over an acre in the centre of Woking and is adjacent to a building (1 Crown Square) McKay bought in January this year.
Currently The Planets is let to Woking Borough Council for mixed use – a conference centre, bingo hall, hotel and other leisure facilities, totalling some 92,000 sq ft. The lease expires in March 2020.
McKay paid £8.75m for the building and is getting an initial yield of 6.9% on this now but it will rise to 8.1% in March 2015 with the next rent review and increases are linked to RPI thereafter.