UK REIT Hammerson has exchanged contracts to sell two assets to the Standard Life Investments UK Property Fund for a total of £87 mln (€120 mln).
UK REIT Hammerson has exchanged contracts to sell two assets to the Standard Life Investments UK Property Fund for a total of £87 mln (€120 mln).
Monument Mall, located in the heart of Newcastle-upon-Tyne, was sold for a price above the 30 June 2015 book value representing a net initial yield of 4.3%. The deal crystallises a £24 mln (46%) profit on cost for Hammerson.
The mall was acquired in 2011 for £28 mln. In 2013 Hammerson completed a reconfiguration of the centre, creating eight new large units, and increasing the occupancy rate to 100%.
Hammerson has also sold a small land interest in Kingston-upon-Thames to St George for £12 mln.
'The proceeds from the sale will be used to part fund our recent acquisition of the Jewel portfolio of loans in Dublin,' said CEO David Atkins. 'We are on track with further transactions to complete the first tranche of £200 mln of disposals in the first quarter of 2016.'
