Enterprise Inns grosses £8.4m in sale and leaseback auction
Enterprise Inns has raised £8.39m in the latest sale and leaseback auction of a number of its pubs.
It had put eight London pubs up for grabs in the latest in series of such sell-offs, with a view to leasing back the sites itself once investors had parted with their cash.
Five of the sites sold at the auction, held today by Cushman & Wakefield, with one pub, the Princess of Shoreditch, selling after the event for an undisclosed figure.
Two pubs, the Halfway House in Barnes and the Three Kings in Clerkenwell, did not sell and remain available to buy at £1.125m and £1.525m respectively.
The pubco is looking at a total rent bill on the properties sold of £616,000 - a yield of 7.25 per cent - and new leases of 35 years in length.
The money raised will be used to chip away some of Enterprise's debt mountain.
The pubs that sold through the auction process are:
Molly Moggs, on the corner of Old Compton Street and Charing Cross Road, London: sold for £1.49m (guide price: £1.425m - £1.525m). Rent: £106,000 pa
So-Bar, Fulham Road, London: sold for £1.975m (guide price: £1.9m - £2m). Rent: £150,000 pa
Ealing Park Tavern, South Ealing Road, London: sold for £1.65m (guide price: £1.55m - £1.65m). Rent: £125,000 pa
The Sun, Drury Lane, London: sold for £1.675m (guide price: £1.6m - £1.7m). Rent: £115,000 pa
The Hope, Tottenham Street, London: sold for £1.6m (guide price: £1.55m - £1.65m). Rent: £120,000 pa
In the next instalment of sale and leasebacks, Enterprise plans to sell a further eight London pubs in an auction with Allsops on March 24. There it hopes to raise at least £11.5m.
The pubs in the next auction are:
The Fox, City; The Eight Bells, Fulham; The Princess Alice, Aldgate; The Victory, Marylebone; The Star & Garter, Soho; The Duke of York, Clerkenwell; The Shipwright Arms, Bermondsey, and The Bree Louise, in Euston.
