Henderson Global Investors, on behalf of two funds for its German joint venture Warburg Henderson, has acquired the freehold interest in N1 Islington, a prime central London shopping center, from the Metro Fund, for circa £112 million (approx. 132.8 mln.). The price reflects an initial yield of around 5.40%.
The center is located in the wealthy catchment of Islington and has approximately 10 million visitors per annum. Anchored by Vue Cinema and H&M which is due to open in late summer 2010, the scheme has a strong retailer line up which includes Gap, Next, French Connection and HMV.
The center has a significant leisure offer dominated by a 9-screen Vue Cinema and the O2 Academy, Islington's live music venue. It also has an excellent catering offer at first floor with operators such as Wagamama and Yo Sushi which help maintain foot fall at quieter times.
Andrew Creighton, Director of Property at Henderson Global Investors said: "We recognized an excellent opportunity in this shopping center which benefits from its prime location within the affluent Borough of Islington. We anticipate excellent future growth prospects and see it as a compatible addition to our current portfolio.
"The distinct lack of competing schemes in the immediate area, the long average unexpired lease lengths and the opportunity to add to the already impressive tenant line up provides for a very attractive investment opportunity. "
Warburg-Henderson was advised by CB Richard Ellis and the Metro Fund was advised by Cushman & Wakefield.
Source: Henderson Global Investors