TIAA Henderson Real Estate has acquired a retail block in Glasgow, UK, in a £21.5 mln (€27 mln) deal with vendor Orchard Street Investment Management.
TIAA Henderson Real Estate has acquired a retail block in Glasgow, UK, in a £21.5 mln (€27 mln) deal with vendor Orchard Street Investment Management.
The asset was acquired on behalf of TIAA's German joint venture, Warburg Henderson.
Located at 36-48 Argyle Street, the 8,047 m2 retail block is primarily let to TK Maxx until August 2025. The annual rental income is £1.3 mln per annum which will increase to £1.47 mln in 2015, reflecting a net initial yield of 5.71%.
Martin Payne, fund manager at TH Real Estate, said: 'The investment offers the Fund an attractive initial return with the benefit of a strong reversion in 2015.'
TH Real Estate was advised by Knight Frank; C&W represented the vendor.
