LGIM Real Assets has acquired Waterfront Leisure scheme in Stafford from LXB Retail Properties for €11.3m (£9.9m). The new 50,642ft² development comprises seven units fronting the River Sow. It has been purchased with 50% of units pre-let with restaurant space currently leased to Nando’s and Frankie & Benny’s on 15-year terms. It is also anchored by the first purpose-built Odeon Luxe Cinema under a 25-year lease agreement.
Andrew Ferguson, Senior Fund Manager of Legal & General, said: “This is a positive addition to the fund, once again providing the opportunity to revitalise our towns with schemes fit for today’s environment and spending habits. As with our other leisure schemes, it provides an attractive yield profile with strong and dynamic anchor tenants. As a whole, there is now a real momentum in the leisure sector as consumers crave new experiences. Operators are expanding to meet this demand whilst a breadth of new innovative concepts are coming to market, offering everything from new luxury cinemas to virtual reality and a breadth of competitive socialising concepts. As we look towards 2019 and beyond, we have an increasing appetite for further new development deals, in areas which lack sufficient provision for today’s consumer. These allow us to shape the operator profile and provide schemes which are targeted to changing dynamics, allowing us to bring a new and sought after offering to the UK’s towns and cities.”