Motor Trade Investment Completed in Durham

Peugeot Car Showroom, Durham City Retail Park — Sale Completed

Automotive | 10,806 sq ft | Durham City Retail Park, Alma Place, Durham DH1 2HN

Delta Capital Property Investment is pleased to announce the successful sale of the Peugeot car showroom at Durham City Retail Park, Alma Place, Durham, which completed in June 2026.

The property is a purpose-built, modern car showroom extending to 10,806 sq ft, prominently positioned at the entrance to Durham City Retail Park on a one-acre site immediately opposite major retailers including B&Q, Currys PC World, B&M, Argos, Boots, KFC and Pizza Hut. The location sits along Alma Place, a key arterial route connecting Durham city centre to the A1(M), within a well-established motor retail cluster that includes Toyota, Renault, Cooper BMW, Seat, Nissan, Mazda and Skoda.

The building itself features a striking double-height, fully glazed showroom with a rear parts department and vehicle workshop, modern office accommodation across ground and first floors, and 117 external car parking spaces.

The property was sold with the benefit of an existing full repairing and insuring lease to Sherwoods Motor Group Limited (trading as Peugeot), who were assigned the lease in 2018. The lease, originally granted in July 2010 for a term of 20 years, runs until July 2030 and provides a passing rent of £140,000 per annum, subject to five-yearly upward-only rent reviews to market rent. Notably, the tenant did not exercise their break option in July 2025, demonstrating their continued commitment to the property. Sherwoods Motor Group Limited hold a CreditSafe risk score of 78 (Very Low Risk) and reported a turnover of over £96 million in their most recent financial year.

In addition to the secure income profile, the site offers longer-term potential for alternative uses and roadside redevelopment, given its prominent position on a main arterial route into Durham city centre.

"We're really pleased to have completed on this one. It's a well-located, well-let asset with a strong tenant in place and genuine long-term potential — exactly the kind of transaction we enjoy bringing to the market. We wish all parties well with it." — Daniel Capobasso MRICS, Managing Director, Delta Capital Property Investment

The sale was handled by Delta Capital Property Investment. For further information on this transaction or to discuss similar investment opportunities across the North East, please get in touch.

Daniel Capobasso MRICS

Managing Director,

Delta Capital Property Investment

Mob: 07968 618 948

Email: dc@deltacap.co.uk

Daniel Capobasso is a RICS-qualified commercial property investment advisor and Managing Director of Delta Capital Property Investment, specialising in investment transactions and asset management across the North East of England.