German car manufacturer VW is recommiting to 70 leases across an 85-strong, £400 million-pound plus portfolio of UK auto dealerships.
According to a Tel Aviv Stock Exchange announcement, Chamoss International, a British Virgin Island incorporated investment company, has signed a non-binding memorandum of understanding with Volkswagen Group United Kingdom.
Chamoss said VW reached agreement in a MOU on 8 July to release 70 properties starting from October 2028 with the rent at around £19 million per annum. Chamoss said 76% of the total rent will be guaranteed for a period of 10 years, while the remaining portion will be guaranteed for at least 5 years.
Chamoss will seek to lease or sell any properties that VW does not lease.
Chamoss is a privately-held company that was incorporated in 2005 to buy from Volkswagen UK a portfolio of 85 real estate assets and to lease them back to Volkswagen. The properties are used for showrooms for Volkswagen Group vehicles, including for Volkswagen, Audi, Seat and Skoda.
According to a 2024 Cushman & Wakefield valuation report focused on Chamoss's investment in the 85 motor dealerships, the portfolio comprises 71 freehold properties, 11 long leasehold properties (over 50 years), and three part freehold/leasehold properties across the UK. Cushman valued the entire portfolio at £400.354 million.
Properties include Hampstead VW on Finchley Road in London, Braehead Audi, Renfrew Road in Braehead in Scotland, and the Leeds VE, Elland Road in Leeds.