Private equity real estate firm Henley Investments has sold a 100,000 sq ft Tesco supermarket in Hayes, west London, for £70m.
It is understood that the property was acquired by US investor Realty Income Corporation. The firm, which made its debut in the UK grocery market in 2019, highlighted earlier this year that stores operated by grocers such as Tesco and Sainsbury’s remain particularly attractive for investment.
The deal represents a premium to purchase price, with Henley buying the store for £52m in December 2019.
Warwick Hunter, managing director of development and asset management at Henley, said: “The strength and appetite in the supermarket sector presented a great opportunity to transact and reach our business plan objectives ahead of time. As we move into Q3, we look forward to sourcing new opportunities to recycle these proceeds.”
Ian Rickwood, chief executive of Henley, said: “This has been another successful investment within our UK portfolio and achieved just 18 months since purchase.
“It is testament to Henley’s ability to spot opportunistic investments in all markets, where the specifics of the situation matter more than general trends. With multiple deals now completed on both the buy and sell side since the pandemic started, we will continue to act upon future opportunities across all markets in which we are active.”
Henley’s recent activity in west London includes purchasing the 374,000 sq ft Bedfont Lakes business park and a regeneration project in Fulham, on Wandsworth Bridge.
Hampson Wall acted for Henley in the disposal.
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See how this deal compares with other retail disposals in west London >>
