Capital & Regional plc today announced that the Mall Fund has completed the disposals of The Gracechurch Centre, Sutton Coldfield, and The Pavilions, Uxbridge, for a combined consideration of £152.5 million (approx. €176.3 million).
The Gracechurch Centre, Sutton Coldfield was sold to M&G Real Estate for £88.0 million (approx. €101.8 million) representing an initial yield of 7.75%. The Pavilions, Uxbridge was acquired by clients of LaSalle Investment Management for £64.5 million (approx. €74.5 million), representing an initial yield of 7.70%.
Following the disposals the Fund’s debt will be reduced to approximately £383 million (approx. €442.9 million) and the proforma LTV to 57%.
These sales mark the successful completion of the strategy to dispose of non-core shopping centers to reduce the debt in the Mall to a level that can be refinanced on more attractive terms. The Mall’s six remaining assets, comprising over 3 million ft², are strong schemes offering attractive and affordable space, as reflected in their resilience in the latest valuation at 30 June 2013.
Source: Capital & Regional