US-based hedge fund York Capital Management is reportedly teaming with Ireland's Clarendon Properties to buy the Hazel portfolio of Irish retail centres for over €120 mln.
US-based hedge fund York Capital Management is reportedly teaming with Ireland's Clarendon Properties to buy the Hazel portfolio of Irish retail centres for over €120 mln.
According to a press report by the Irish Times, the buyers expect a net return of around 7.2% on the investment which is producing a rental income of just under €9 mln.
The Hazel portfolio is sponsored by Irish bad bank Nama. The portfolio includes the Wilton Shopping Centre near Cork, the Drogheda Retail Park, and the Gateway Retail Park. It was offered for sale last September at €115 mln through joint agents Bannon and DTZ Sherry FitzGerald.
Nama is also in the process of offloading Ireland's largest regional shopping centre, the Whitewater shopping centre in Newbridge. Joint agents Savills and Coady Supple have been instructed to seek offers of over €150 mln, or a net initial yield of 7.5%, for the 27,900 m2 mall.
Last week the bad bank also picked US firm Cerberus Global Investors as preferred bidder for its €6.25 bn nominally-valued Project Arrow loan portfolio. Nama hired Cushman & Wakefield in February of this year to market the portfolio, which may sell for as little as €1 bn due to the fact that many of the loans are non-performing.
‘Project Arrow’ comprises around 300 debtor connections with loans secured against 1,906 assets, largely regionally located. It is secured by around 90% Irish real estate and 6% UK real estate. The underlying properties are believed to comprise 43% residential assets, 35% commercial properties, 20% land and development.
