CB Richard Ellis Investors, the global real estate investment management firm, has announced the purchase of Shore Retail Park, Newtownabbey, Belfast on behalf of a pension fund.
The property comprises some 51,000 ft² (approx. 4,800 m²) of retail warehouse accommodation arranged over ground and mezzanine floors and is located on Shore Road, adjacent to Longwood Retail Park.
The park is let to Fitness First until 2027 and Dunelm until 2023. The Dunelm letting benefits from fixed uplifts at both first and second reviews. The current rental levels represent some of the lowest retail warehouse rents in Northern Ireland.
The purchase price was £3,475,000 (approx. 4.1 mln.), reflecting a net initial yield of 9%.
CBRE Investors were advised by CB Richard Ellis and twentyretail.
Ric Crane of CBRE Investors said, "9% is an attractive yield given the prominent position of the park, the low rental levels and length and quality of income, the majority of which benefits from fixed increases".
Commenting on the acquisition, Tim Reid of CBRE Belfast said "This is one of a number of well let commercial properties in Northern Ireland purchased this year by UK Institutional buyers, after a long absence from the market. The acquisition of Shore Retail Park by CB Richard Ellis Investors once again demonstrates there is now a healthy appetite for quality Northern Ireland assets from UK Institutions".
Source: Citigate Dewe Rogerson