LV= Asset Management new property acquisition

LV= Asset Management (LVAM) has completed its first acquisition for the newly launched LV= UK Property Fund.

The first – of what is anticipated will be several property investments - is the acquisition of the heritable interest in 109-113 Sauchiehall Street, Glasgow, for the sum of £2.963 million from Henderson

The property, which occupies a prominent position on the prime pedestrianised section of Sauchiehall Street, is let to Orange Plc until 2013 at a current rent of £164,500 per annum. The purchase price reflects a net initial yield of 5.25%, which is set to increase next year on settlement of the 2008 rent review.

Howard Meaney, Head of Property Investment at LV= Asset Management and manager of the LV= UK Property Fund comments: “I’m delighted that we’ve secured our first property for the fund, which has been held in cash up until now. Sauchiehall Street is a good example of the many attractive opportunities that can be found in today’s market, and we are actively looking to make further investments in the very near future.”

LV= were advised by Griffiths Eccles, who are the retained investment advisers to the LV= UK Property Fund. Cushman & Wakefield acted for Henderson.