Metric acquires UK shopping centre for EUR 20m

Metric Property Investments, a UK specialist retail real estate investment trust (REIT), has acquired the Morrisons-anchored Gorse Covert Shopping Centre, Loughborough in the UK for £16.8 mln (EUR 20 mln).

The vendor is a private investor. The property is subject to an overriding lease to Morrisons, at an annual passing rent of £1.01 mln, reflecting a net initial yield of 5.72% and an equivalent yield of 6%. There is an unexpired lease term of 8.1 years.

The property is a 4,700-m² partially-enclosed neighbourhood shopping centre anchored by the Morrisons store and includes a petrol station, parking for 367 cars and seven shop units let to a variety of retailers (all sub-tenants of Morrisons).

Metric will use its existing cash resources to finance the purchase.

This is the third asset acquired by Metric since its £190 mln flotation on the London Stock Exchange in March 2010. To date, the company has invested or committed approximately £65 mln of its net IPO proceeds on property acquisitions.

Wilkinson Williams advised Metric on the acquisition.