LondonMetric Property Plc (“LondonMetric”) announces that it has sold Pierpoint Retail Park in Kings Lynn for €27.5m (£24m) and Damolly Retail Park in Newry, Northern Ireland, for €35m (£30.7m).
At Kings Lynn, the Tritax Property Income Fund (“Tritax”) has purchased the 6874m² retail park reflecting a NIY of 5.77%; which is in line with the March 2016 valuation. The property was purchased in 2011 for €17.3m (£15.1m) and has undergone complete refurbishment with six new lettings to Next, B&M, DFS, Tapi, Poundland and Greggs. Since purchase, the rental income has increased by 47% and the WAULT has risen from 4.3 years to 13.3 years.
At Newry, Northern Ireland a local investor has purchased the 15329m² Damolly Retail Park reflecting a NIY of 7.4%; which is 3% below March 2016 book value. LondonMetric purchased the retail park in 2010 and has undertaken numerous asset management initiatives with new lettings to Lidl, Pets at Home, Home Bargains and Costa. The WAULT to first break is now 7.6 years.
LondonMetric was advised by CBRE on Newry. Wilkinson Williams advised Tritax on Kings Lynn.
Andrew Jones, Chief Executive of LondonMetric, commented:
“These sales represent the opportunity to monetise two of our larger retail park investments following an intense period of asset management activity."
