B&M secures new deal to move into former Toys R Us store in Hull

B&M Retail Limited (B&M) is set to expand in Kingston Retail Park, Hull after agreeing a deal to take the previously occupied Toys R Us unit.

Ediston Property Investment Company plc signed an agreement for a 10-year lease with B&M.

B&M has agreed terms to increase occupation on the retail park by upsizing from a unit of 10,271 sq. ft. to one of 24,225 sq. ft.

B&M agreed to lease unit 1b, which was occupied by Toys R Us before it entered administration earlier this year.

B&M has agreed to sign a 10-year lease at an annual rent of £302,813 and will receive an incentive of 12 months’ rent free.

To facilitate the letting, B&M will surrender the lease on its existing unit which expires in 2021, providing another asset management opportunity for the Investment Manager.

Calum Bruce, director of Investment at Ediston Properties Limited, the company’s Investment Manager, said: “Identifying a tenant so soon after the demise of Toys R Us is positive, not just for the asset but for the out of town retail market as a whole. It proves that there is good tenant demand for well-located retail parks.

“Agreeing this letting secures a good covenant on a long lease, factors which improve the quality of the Company’s income stream. We are already looking for a new tenant to take the smaller unit and are working on a few leads.”