CB Richard Ellis sell portfolio of prime designer outlet centers for £365m (UK)

In what is potentially the largest single investment deal in the UK so far this year CBRE has advised Henderson Global Investors (HGI) on the investment sale of a portfolio of three of the finest designer outlet centres in the UK (located in Cheshire Oaks, Swindon and Bridgend) for £365m (approx. €426m).

The deal which exchanged yesterday and was sold by a consortium of investors, including AXA REIM, BP and Morley, for circa 6.8% initial yield.

The portfolio, situated within strong commercial locations all adjacent to the national motorway network, encompasses a total of 72,700m² of A1 consented retail space with a high quality tenant profile including the first John Lewis outlet; other tenants include M&S, Next, Gap, Nike, Polo Ralph Lauren, Austin Reed and Jaeger, all with multiple representation across the portfolio.

Greg Nicholson Chairman of CB Richard Ellis's Capital Markets who acted for the Investors selling the assets commented: "To agree and conclude a deal of this magnitude with all its complexities in the present market with the number of investors involved on both sides is testament to the team spirit each side adopted with the other on the transaction. Robust and forensic due diligence up front was critical to its success."

Source: FD

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