Hammerson plc, which owns 25% of Central Retail Park in Falkirk, has exchanged contracts to acquire the remaining 75% from its partner TIAA-CREF for a consideration of £69 million (approx. 79 million) including costs.
The 37,100-m² scheme, anchored by a Tesco superstore, has an occupancy of 98% and a diverse range of tenants include Argos, Boots, Cineworld, Homebase, Mothercare and Next. The scheme is at the edge of the town center and has 1,350 parking spaces. Passing rents at December 31, 2010 were £5.8 million.
Hammerson's 25% stake, which was acquired in 2002 as part of the Grantchester acquisition, was valued at £22.6 million at December 31, 2010.
David Atkins, Chief Executive, said: "Following the acquisitions of Wrekin Retail Park and the remaining stake in Battery Retail Park, our UK parks portfolio now comprises 16 properties worth over £1 billion, or 20% of our total portfolio. With low average rents and a high proportion of open A1 planning, our retail parks are capitalizing on demand from a range of tenants for accessible and affordable retail space.
"At Central Retail Park we have successfully created a customer base of home improvement, fashion and catering, and have the opportunity to add value by redeveloping units and securing more fashion brands."