NewRiver REIT has formed a new partnership with a fund managed by Pacific Investment Management to acquire and manage a portfolio of UK retail parks.

The London-listed property investor said it has agreed the 50:50 joint venture, in principle, with BRAVO Strategies III, re-establishing a partnership that dates back to 2012.

NewRiver also said it has also exchanged contracts to buy a portfolio of four retail parks for £60.5m (€68.7m) from Zurich Assurance.

The portfolio comprises the Kittybrewster Retail Park, Aberdeen; Telford Retail Park, Inverness; units in Kingsway East Retail Park, Dundee and Wakes Retail Park on the Isle of Wight.

The acquisition will be completed by the joint venture, once established and NewRiver will be appointed as asset manager to the portfolio.

The joint venture is expected to target a portfolio of retail parks in the UK, as well as identifying and pursuing other opportunities in the UK retail sector.

Allan Lockhart, NewRiver REIT CEO, said: “We are delighted to be forming this joint venture with BRAVO, re-establishing a successful partnership that dates back to 2012 and has a track record of delivering growing returns to our shareholders.

“Recycling our capital from disposals into joint ventures enables us to secure a superior return on our capital and provides us with significant additional firepower to take advantage of the current dislocation in the retail real estate market.”