Gibraltar Limited Partnership, a 50:50 joint venture between The Crown Estate and Hercules Unit Trust (HUT), has sold Leamington Shopping Park in the UK to Ignis UK Property Fund for £72 mln (€88.6 mln).
Gibraltar Limited Partnership, a 50:50 joint venture between The Crown Estate and Hercules Unit Trust (HUT), has sold Leamington Shopping Park in the UK to Ignis UK Property Fund for £72 mln (€88.6 mln).
The deal represents a net initial yield of 4.4%.
Located in Leamington Spa in the UK West Midlands, the scheme was extensively refurbished in 2009 in line with advice from British Land.
Previously a traditional bulky goods retail park, it has been turned into a fashion-led shopping park. Almost every unit has been either re-let or reconfigured. Debenhams opened a department store in October 2013 and Caffe Nero took its first out-of-town unit at the park.
Charles Maudsley, head of retail for British Land, said: ‘We have realised significant value at Leamington Shopping Park by transforming it into an attractive and successful shopping destination. That value has been recognised by the market and the sale demonstrates both the strong UK institutional demand for the right type of product and confidence in the prospects for the retail occupational market.’
Gibraltar represented itself in the transaction. Ignis was advised by CWM Out of Town LLP.
HUT is the UK's largest specialist retail warehouse property unit trust with a portfolio of £1.5 bn. It is advised by British Land and managed by Schroders.
