Balanced Commercial Property Trust has secured a five-year lease renewal from footwear retailer Aldo at its store on Oxford Street, W1.
Retail Group UK 2020, which trades as Aldo, has agreed a new lease on its 2,978 sq ft store at 372 Oxford Street, in St Christopher’s Place. It occupies both ground floor and basement space.
The lease has a stepped rent structure that more than doubles the previous passing rent in the first year, with the store’s £600,000 pa estimated rental value achieved by year three and exceeded in years four and five. There are no break clauses.
BCPT said demand for the unit from competing occupiers strengthened the outcome of the negotiations in its favour.
Richard Kirby, fund manager at BCPT, said: “This lease renewal is an excellent outcome that enhances the strength of the trust’s income and net asset value.
“It also reflects the continuing recovery of tenant demand for retail on Oxford Street and highlights the potential for value creation through active management of our assets, both at St Christopher’s Place and across the wider portfolio.”
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