Hammerson has sold Westmorland Retail Park, Cramlington in the British county of Northumberland to Arch Commercial Enterprise for £36 mln (€40 mln).
The sale price represents a net initial yield of 5.8%, and is just below book value as at 30 June 2016.
'It is encouraging to see continued interest in well-positioned retail park assets at supportive pricing levels,' commented Hammerson CEO David Atkins. 'Arch is a natural owner of the asset having already invested in the adjacent shopping centre, and our strategy of introducing high-street brands to this asset has created a strong offering for the local catchment.'
Arch acquired the adjacent Manor Walks Shopping Centre in July 2016 from Hammerson. The two schemes form the core retail offer for Cramlington town centre and ownership of both enables Arch to effectively manage the complementary retail offers.
Hammerson acquired the asset in 2006 before refurbishing and extending the scheme to create a refreshed retail terrace, attracting a number of new high-street brands including Currys PC World, TK Maxx, Costa and M&S Food.
Additional recent smaller transactions take Hammerson's total proceeds received to £43 mln (€48 mln).
