Helical Bar announced that it has disposed of its two major retail schemes in Glasgow and Corby as it seeks to recycle capital into new opportunities.
Helical has exchanged on the sale of the long leasehold interest in Clyde Shopping Centre, Glasgow to Edinburgh House Estates Ltd and Cerberus for £70 million (€94 million), reflecting a net initial yield of 7.25%, and a premium over book value of 3%.
Helical acquired the 600,000 ft² (55,741 m²) center in joint venture with Prime Commercial Properties in January 2010, with Helical holding a 60% economic interest. During its ownership, the joint venture has concluded a number of refurbishment and extension works, including the addition of a new gym and, in 2013, disposing of the adjoining Asda unit to Aviva for £12.15 million (€16 million).
In its second transaction, Helical has exchanged on the sale of Corby Town Centre to Europa Capital Partners and Sovereign Land for £71.7 million (€52.9 million), reflecting a net initial yield of 7.25% and a premium to book value of 5%.
The 700,000 ft² (65.032 m²) scheme comprising Willow Place, Corporation Street and Oasis Retail Park was acquired in October 2011. Since then Helical has disposed of £2.8 million (€ of assets.
Duncan Walker Investment Director at Helical Bar commented: "These assets have been extremely successful for Helical having been acquired at the bottom of the market. We are pleased to see them passed onto purchasers who will build upon our successes, as we continue our rotation of assets within the portfolio. These two transactions conclude the sales of our in town retail assets. We retain only Cardiff which remains a long term hold."
Savills acted on behalf of Helical for both transactions. CBRE acted for the purchaser of Clydebank, and the purchaser of Corby was unrepresented.
Source: Helical Bar