The portfolio, which comprises of 93 freehold and six long-leasehold venues, is let to Marston’s Estates on full repairing and insuring leases with Marston’s PLC as a guarantor.
The package provides gross rent roll of £5.42m a year, subject to annual CPI indexed rent increases, capped and collared at 1% and 3%, compounded very five years and products a net rent of £5,410,518 annually.
Offers in excess of £87.3m are invited for the portfolio, subject to contract and exclusive of VAT.
Avison Young has been instructed to sell the sites, which includes fully occupied properties in locations such as Cardiff, Newport and Swansea as well as groups in west, mid and north Wales.
The package is split between managed and tenanted venues, in a mix of town, city centre, suburban and rural areas.
Avison Young Leisure managing director Peter Constantine said: “This is a rare opportunity to acquire a large, high-quality package of public houses, located in strong trading positions across Wales.
“They benefit from a secure income stream let to an excellent covenant. We anticipate significant levels of demand as packages of this quality rarely come to the market.”
In the first quarter of this year, Marston’s confirmed it had agreed a deal to operate more than 100 of SA Brain & Co’s pubs on a leasehold basis.
The move, which was met with unanimous approval from Brains’ board and its lenders – saw 1,300 pub employees transferring to Marston’s, with the Wolverhampton-based operator continuing to trade the pubs under the SA Brain & Co brand.
In July 2021, a Marston’s trading update revealed the SA Brain estate had performed well since reopening with trading levels mirroring the Marston’s estate, which found total sales from 17 May to 24 July were at 92% of levels in the same period in 2019.