BASSI GROUP buys Aldi store for £3.7m
A Nottingham firm best known for selling clothes has expanded its property presence after buying an Aldi store in a £3.7m deal.
Bassi Group now owns 15 commercial buildings – worth a combined £30m – after taking over the 15,000 sq ft supermarket in Entwisle Road, Rochdale, last month.
It is the biggest investment to date made by the family-owned company, which also runs Duke Clothing Company from its Basford office.
Director Rohan Bassi said: “It’s a very important deal – the biggest we’ve done to date and now the cornerstone of our portfolio.
“Aldi is in there for another 15 years but we’ve seen how it’s been growing massively in the UK so we see them staying there for even longer.”
“Every five years the rent automatically increases by 10 to 15 percent so it’s a good revenue stream.”
“When you walk into an Aldi and know you’re the landlord, that’s pretty exciting.”
“We try to get a diverse range of properties, whether it’s retail, supermarkets, warehouses or garages.”
“They can be out of town or in town, and having these big blue-chip companies as your tenants is quite a big thing.”
“This is hopefully going to be a stepping stone to even bigger buildings, with our next target a big supermarket.”
Bassi Group was founded in 1985 by brothers Avinash and Subhash Bassi, who initially became market traders after moving from India to the UK.
The company currently makes three million clothing garments, which are sold in shops such as House of Fraser, Slaters, Blue Inc, Beales and Big & Tall.
It has a £7m turnover and employs about 100 staff globally, including 25 based in Nottingham.
The firm ventured into property in 1995, initially focusing on the residential market.
At its peak, it owned 100 homes, including 70 in Nottingham, which were rented out to create revenue streams.
But about 10 years ago, the firm decided to concentrate on commercial properties.
They include buildings currently occupied by the Co-op, in Clifton; Sainsburys in Waverley Street, Forest Fields; IFS UK, in Beeston; BDO, in Carrington and a joint tenancy of Ladbrokes and Andrew Baxter hairdressing, in Mansfield Road.
It also owns property in Derby, Leicester, Sheffield and Tamworth, while still owning about 50 residential properties but is continuing to sell its stock.
Managing director Avinash Bassi admitted the Nottingham market is currently tough.
He added: “We’re going for the larger buildings now and hope to get at least two or three every year.”
“It’s hard to get the right property in Nottingham. You can get plenty of bad ones but Nottingham is always the hardest to find the right property at the right price.”
“That’s why we’ve had to go a little way out of Nottingham because the profit margin was better.”
“With property at the moment, the biggest thing is rates are ridiculously high and get passed on to the landlord if the building is empty.”
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