CBRE GI acquires two Belgian retail assets for 5.4% yield

CBRE Global Investors has acquired two recently opened retail properties in Belgium for a total purchase price of €79.6 mln, reflecting a net initial yield of 5.4%.

The assets have been acquired on behalf of one of its separate account clients from developer MG Real Estate. The two assets in Ghent and Mechelen were both transferred immediately.

The Ghent property is located in the pedestrian city centre, and consists of 11,454 m2 of modern retail space behind historical facades, anchored by Primark and H&M.

The five-store 6,795 m2 Mechelen asset is located on the prime Bruul high street, and is anchored by MediaMarkt and Carrefour Market

Commenting on the transaction, Jeroen de Grunt, Portfolio director, Separate Accounts Continental Europe, CBRE Global Investors said: 'These two good-quality, multi-let income driven investments are well located in their respective markets in Belgium. These acquisitions allow us to increase our client’s exposure to the Belgian retail market, after opening Leonardo retail park in Evere in May.'

Retail is a target sector for this client, De Grunt added, without naming the investor. 'But we are also investing in logistic assets and offices. We are closing several other acquisitions in Germany, Hungary, Italy and Denmark, and are actively working on the acquisition pipeline for the second half of 2015,' he added.