UK REIT NewRiver, which focuses on convenience-led UK retail and leisure assets, has acquired the remaining 50% share in its Bravo joint venture with Pimco for £59.4 mln (€68 mln).
The FTSE 250-listed firm recently announced a £200 mln (€227 mln) fund raise and said at the time it planned to take full control of the Bravo JV which was established in 2013, comprising four convenience-led shopping centre assets in Belfast, Glasgow, Hastings and Middlesbrough.
'Following the recent announcement of our over-subscribed equity raise, I am pleased to report that we have now exchanged contracts to acquire the remaining units in our Bravo JV, meaning that post completion we will own the four convenience-led shopping centre assets in full,' commented David Lockhart, NewRiver's chief executive.
'We are very familiar with the Bravo assets with a clear understanding of their growth potential, having been responsible for their day to day asset management since the joint venture was established in 2013. Given the investment made into the Bravo assets to date, we are confident that this acquisition will produce attractive long term returns for our shareholders,' Lockhart added.
The assets acquired in the transaction have a gross asset value of £240 mln (€273 mln), representing a net initial yield of 7.3%. They include the Abbey Centre, Newtownabbey, Belfast the Avenue Shopping Centre, Newton Mearns, Glasgow, Priory Meadow Shopping Centre, Hastings, and Hillstreet Shopping Centre, Middlesbrough (pictured).
