Henderson Global Investors’ ca. £12.7 billion Property business has purchased a 125,000 ft² (approx. 11,612 m²) Retail Park in Bournemouth. Mallard Road Retail Park was acquired from Orchard Street Investments for £34 million (approx. €40.6 million) at a net initial yield of 7.5%.
The asset sits within close proximity of Bournemouth center and Castlepoint, the UK’s largest fashion retail park. The scheme benefits from strong rental covenants, with Homebase as its principal tenant.
Marcus Langlands Pearse, Director of Property at Henderson, said: "This was an excellent opportunity to acquire long secure income at a good yield within a strong retail location, enhancing the distributions for the fund. The proximity to Castlepoint Retail Park is likely to drive higher occupier demand in a recovering retail environment. We are confident that it will achieve sustainable growth over the coming years.”
Orchard Street was advised by Morgan Williams.