Investment sale of the Nellie Dean, Soho
January 19, 2017
On behalf of a private client Coffer Corporate Leisure has completed the sale of the Nellie Dean, 89 Dean Street, Soho, W1 for an undisclosed price.
The iconic pub, thought to date back to 1748, was sold subject to a 35 year lease to Enterprise Inns plc. The property was acquired by a private investor.
Jack Silvani, Associate Director, Coffer Corporate Leisure, said "Appetite for prime London stock is showing no sign of abating, particularly in fashionable districts such as Soho where opportunities to purchase property are few and far between. When opportunities do become available, the huge volume of competition is driving pricing. This is particularly noticeable for assets falling into the sub £5m pricing category which appeals to the private/overseas investor market.
Over the past 12 months we have witnessed investor demand for pub investments strengthen considerably. This has compressed yields to unprecedented levels. During the course of 2016, 25 public house investments transacted at sub 4% Net Initial Yields, a handful of which traded at sub 3%. This demand is partly driven by the strong performance of the occupational market where Managed House operators such as Greene King, Mitchells & Butler, J D Wetherspoon and Stonegate Pub Company have posted strong trading results."
Coffer Corporate Leisure acted for the Vendor, the Purchaser was unrepresented.