Legal & General Property ('LGP') announces that, on behalf of its Linked Pensions Fund, it has completed the sale of Brighton Retail Park in East Sussex to a client of Scottish Widows Investment Partnership ('SWIP') for a total consideration of £17.75 million (approx. 21.5 million), representing a net initial yield of 5.08%.
Located on Carden Avenue, in a prominent position to the north east of Brighton's city center, the park totals 42,329 ft² (approx. 4,000 m²) of retail warehousing space across three units. Situated on a 2.67 acre site, it also provides 190 car parking spaces and separate customer and service vehicle entries and exits.
It is fully let to three well-known national retailers, Marks & Spencer Simply Foods ('M&S'), Argos and Next, and offers a weighted unexpired lease term of 15.68 years.
The disposal follows the letting of the ex-MFI unit to M&S and a number of major green initiatives, including working extensively with M&S to improve the EPC rating of its unit, through the introduction of a waste management plan, reducing energy requirements and implementing sustainable construction initiatives, making it one of the greenest Simply Foods stores that M&S has leased to date.
Will Edwards, Fund Manager at Legal & General Property, commented: "Following the successful letting to M&S, this disposal is in line with the fund's strategy to crystallize the capital value uplift and to refresh the portfolio by reinvesting the sale proceeds into opportunities with strong real estate fundamentals with asset management potential."
CBRE represented LGP and JLL acted on behalf of SWIP.
Source: FTI Consulting