NB Real Estate, acting on behalf of ING, has completed the sale of the retail investment known as New Broadmead in Bristol to Kenmore Property Group for £20.5 million (c. €27.5m), reflecting a net initial yield of 5.8%.
The property, located on Union Street, comprises an island site with 16 shop units totalling 5,680 m². Current tenants include Next, Oasis, Monsoon, Office Shoes and French Connection.
Andrew Inglis, Director of Retail Investment at NB Real Estate, said, "This sale, on behalf of ING, has been successfully concluded against considerable market uncertainty about the short-term future of Bristol city center given the impending opening of the large new Cabot Circus shopping center.
"This is a sign of Kenmore's confidence in the longer term potential of Bristol city center, which is anticipated to move up the ranks in the top centers within the UK from 23rd to 7th."
Andrew Brooksbank, Investment Director at Kenmore, commented, "There is tremendous change occurring in the Bristol retail market and our acquisition of New Broadmead gives us an opportunity to get involved in the regeneration of this key area of the city center. We intend to update and refurbish the holding and maximize value through strategic asset management, working with a number of the tenants to re-gear existing leases."
NB Real Estate advised ING and Savills acted on behalf of Kenmore.
Source: NB Real Estate