Benson Elliot sells UK retail asset to Pramerica for €45m

Benson Elliot has announced the forward sale of 1-8 The Broadway, part of its Ealing town centre portfolio, to Pramerica Real Estate Investors for £37.4 mln (€45 mln).

1-8 The Broadway is currently undergoing a redevelopment which will convert the old Arcadia shopping centre into three contemporary stores fronting The Broadway.

Major high street retailers including Morrisons, TK Maxx and and McDonalds have signed up to take the entirety of the 100,000 sq ft (9,300 m2) being delivered. Work on the project will be completed in the autumn of this year.

The 1-8 Broadway project marks the first phase of a comprehensive reworking of the 2.8 acre Arcadia portfolio site. Benson Elliot initially acquired the portfolio in December 2012, buying in 12-14 The Broadway to add to the estate in March 2013.

The company’s total current investment in Ealing town centre, including the June 2013 acquisition of Ealing Cross, a prime office property situated 600 metres further west on Uxbridge Road, amounts to £90 mln.

Design work on the rest of the portfolio has now started, with Benson Elliot starting consultation with local communities in early 2014. The plans, to be designed by Allies and Morrison, are expected to include a core of residential development surrounded by new retail space and quality public realm.

The completion of the £18 bn Crossrail project from 2018 will further improve the area’s accessibility, reducing commuting times to central London by up to 50%.

Strutt & Parker and GCW advised Benson Elliot on the sale and Lunson Mitchenall acted for Pramerica.