Dutch pension asset manager APG’s retail partnership is investing in four European outlet assets.

The VIA Outlets partnership with Hammerson, Meyer Bergman and Value Retail is buying four centres worth €587m and at a net 5.5% yield.

The assets, in Germany, Portugal, Spain and Poland, and all near major cities, will take VIA Outlet’s portfolio to €1.1bn.

The estimated five-year, unlevered IRR for the assets is 11%.

Timon Drakesmith, chairman of VIA Outlets Advisory Committee and CFO at Hammerson, said: “This is a rare opportunity to acquire strong outlet centres in an off-market transaction.

“Well-positioned European outlets continue to deliver strong sales growth supported by an improving customer offer and increasing tourist numbers across Europe.”

Hammerson’s £70m (€82m) investment in 2014 gave it a 47% stake in VIA Outlets.

The largest outlet, in Zweibrücken, Germany, is leased to 114 tenants.

The 29,000sqm asset was Germany’s first established retail outlet and is near the French border.

Tenants include Versace, Tommy Hilfiger and Esprit.

VIA Outlets said the Porto outlet, in Vila Do Conde, receives annual footfall of 4.3m.

The 28,000sqm asset is let to 129 tenants, including Polo Ralph Lauren and Carolina Herrera.

The 16,400sqm and 15,800sqm outlets in Spain and Poland include 65 and 87 retail units, respectively.

VIA Outlets said it has made external hires to expand its asset management, marketing and finance teams.