Oswestry's KFC, Starbucks and OK Diner restaurants go up for sale for over £15m

The three units next to Mile End roundabout in Oswestry have been put on the market, alongside four other properties, for offers over £15.9m.

Agents Harris Lamb say they are expecting "significant interest" in the properties, which are being sold as part of a portfolio of seven known as "Project Pitstop", which also includes roadside properties located in Northampton, Wednesbury, Warrington, Cardiff, Wakefield and Willerby.

Planning permission for the units on Oswestry Gateway was granted in 2012, with Starbucks and KFC moving in a year later. The OK Diner business opened in 2017.

Other drive-through businesses included in the sale include Costa, Burger King, KFC, Greggs, IN ‘n’ OUT, Source EV and Osprey Charging Network, agents Harris Lamb say. 

David Walton, head of retail at Harris Lamb, said: “Competition for drive-thru sites is fierce, exacerbated by increasing consumer demand for convenience and a limited supply of new opportunities, planning constraints and rising development costs. This is a rare opportunity to acquire a successful, highly prominent and very profitable portfolio of well-let reversionary drive to and drive-thru assets. 

“We anticipate significant interest in this opportunity from investors keen to capitalise on the rapidly growing drive thru market. Consumer spending within the roadside retail sector has reached around £2.5bn, with 2,256 drive-thru outlets currently operating in the UK, with rental values within the field rising by more than 25 per cent year on year."

“With a total floor area of 26,717 sq ft, the portfolio is 100 per cent let to high-profile occupiers with a current topped up rent of £977,699 per annum, reflecting a low average rent of £35.34 per sq ft."

The business, alongside joint agents Stockford Anderson, has been instructed to seek offers for the portfolio in excess of £15,963,000.