UK Commercial Property REIT, which is managed and advised by Aberdeen Standard Investments, has acquired Trafford Retail Park, near Manchester, from Peel L&P for £33 mln (€39 mln).
Constructed in 1999, the 12 acre (48,000 m2) site comprises approximately 143,000 ft2 (13,200 m2) of retail warehouse accommodation across fourteen units, ranging in size from 2,000 to 35,000 ft2.
The asset is currently 100% let to a range of retail tenants including Dunelm, B&M, TK Maxx and Home Bargains. It also provides a strong food and beverage offering that includes Nando’s, Pizza Hut, McDonalds, and the recently completed Five Guys letting.
The park delivers an annual income of around £2.5 mln per year, with an average rent of £17.17 per ft2 across all units.
Trafford Retail Park has an estimated catchment of 2.4 million people, with 1.5 million within a 20 minute drive.
Kerri Hunter, fund manager at UKCM, commented: 'This deal presents us with an opportunity to strengthen our portfolio and enhance income through the acquisition of a well-located retail park with a high quality tenant base and impressive footfall in one of the UK’s premier shopping and leisure destinations.
'While some parts of the retail sector have struggled in recent years, Trafford Retail Park is primarily let to discount focused and convenience led retailers, which have proven resilient and continue to perform well.
'As a diversified REIT, we benefit from the ability to look for assets across a range of sectors that offer accretive returns, enabling us to deliver value and income to our investors.'
Photo: david newton / Trafford Retail Park /
