The Crown Estate has bought Ye Harte & Garte Hotel in Windsor for £26m.

The sale reflects a net initial yield of 5.25%.

The vendor, a joint-venture company controlled by Emma & Lewis Davis’s Central Investment Properties, is undertaking a £5m refurbishment.

The 74,336 sq ft property has been let to two tenants: Wagamama, which has taken a 25-year lease of the ground floor restaurant, and Folio Hotels, which has a 35-year lease of the hotel area.

Cluttons acted for the Crown Estate.