Next's Princes St store changes hands for £25m

Universities Superannuation Scheme (USS) has sold the freehold of the Next store on Edinburgh's Princes Street.

The National Farmers Union Mutual Insurance Society has paid£25.4million for the 35,225 sq ft (3,275 sq m) store at 107 to 108 Princes Street, reflecting a net initial yield of 4.54 per cent.

Next occupies the store on a lease expiring in February 2023 at£1.22 million a year. The unit is close to Russell & Bromley, Debenhams, River Island and La Senza.

USS retail property fund manager Graham Burnett said: 'This prime property attracted significant interest from both institutional and private buyers because of its excellent location, long lease and strong covenant. The price achieved reflects the current strength of the investment market.'