Real Estate Investors PLC (LON:RLE) said it had bought an office building in Wythall, Birmingham for £2.45mln in cash.
The modern block, which has 117 car parking spaces, will produce total rental income of £243,547 a year at a net initial yield of 9.39%.
The property is fully let to Grafton Group (UK) PLC on three leases and lies on the southern side of Birmingham, close to junction 3 of the M42, with access via the A435.
Chief executive Paul Bassi said: "This is an excellent addition to our growing portfolio and provides immediate income at a purchase price that we feel offers good prospects for capital growth."
Shares were unchanged at 64.5p each.