Helical Bar sells TK Maxx in Cardiff

Helical Bar has sold a retail store operated by discounter TK Maxx in Cardiff to the Henderson UK Property Unit Trust.

The disposal price for £14.8 mln (almost €18 mln) represents a net initial yield of 5.75%.

The property at 10 The Hayes comprises 68,477 sq ft of (6,360 m2) of modern retail premises in the centre of Cardiff, is currently let to TK Maxx until 2021. Helical owned the property as part of its wider retail interest in Cardiff, including The Morgan Quarter, The Hayes and St Mary Street, since 2005 and it was subject to a substantial redevelopment in 2006.

Jack Pitman, director at Helical Bar, commented: 'The disposal of the TK Maxx store in Cardiff represents a further step in our drive to dispose of some of our lower yielding retail assets and recycle our capital into higher yielding assets such as Huddersfield Retail Park and the Quartz Portfolio, both of which we acquired in September 2013.'

Marcus Langlands Pearse, Henderson UK Property Unit Trust, added: 'This property provides an attractive return for a well secured retail store in a major regional city. The Henderson Property Unit Trust has now acquired over £430 mln worth of properties in the past nine months and we intend to continue acquiring similar opportunities in 2014.'

Jones Lang LaSalle represented Helical Bar; Knight Frank represented Henderson UK Property Unit Trust.