Halladale Group plc has announced the acquisition of the Langney Shopping Centre in Eastbourne, from Edinburgh House, for approximately €36 million (£26.25 million) through the purchase of Langney Investments Limited by Halladale Ventures Ltd, its co-investment joint venture with Bank of Scotland Corporate.
The transaction price reflects a net initial yield of 5% plus two substantial development sites.
Langney Shopping Centre is a major district shopping center in Eastbourne on a large site of 12 acres. The center extends to 135,000 ft², with 820 car spaces and with planning consent for a further 80,000 ft² of additional space. The center is anchored by Tesco for a further 30 years and includes a petrol filling station let to Esso. Other major occupiers include Peacocks, Boots and Iceland.
The site also contains 6 existing flats and part of the planning consent is for a further 28 units of private and affordable housing to be built.
Halladale Ventures was established in January 2002 to seek opportunities throughout the United Kingdom to create value through active asset management and development. In addition to its equity participation, Halladale manages the projects on behalf of Halladale Ventures for which it receives management fees.
Joiner Cummings and Jackson Criss advised Halladale and Franc Warwick were advisers to the vendors Edinburgh House.
Ken Lindsay, Property Director, commented: "Langney Shopping Centre will offer Halladale an excellent opportunity to unlock further value by undertaking significant extensions for a further 80,000 ft² of additional space. Our entrepreneurial approach to property development and asset management will enhance the local retail environment and create significant value to both the overall project and shareholders."