Shopping centres to fill the basket at Allsop commercial sale

Four shopping centres are being offered at guides reflecting yields of more than 30% in the next Allsop commercial sale. The shopping centres in Edinburgh, Ipswich, North Shields and Bridgwater are being offered at guide prices averaging £2.8m-plus in the 21 March online auction. Two are owned by private property firm Martin Property Group through its 2022 purchase of a portfolio of six shopping centres from Dutch pension fund Stichting Mars Pensioenfonds. They are Westside Plaza Shopping Centre in Wester Hailes, Edinburgh, guided at £3.25m-plus, reflecting a gross initial yield just shy of 35%. The centre is held on a lease from Edinburgh City Council with 122 years unexpired. Martin Group has drawn up a 700-flat residential scheme and has been in discussions with the council in preparation for a pre-application submission. In Bridgwater, Somerset, Martin Group is looking to sell the Angel Place Shopping Centre (pictured), which is guided at £2.75m-plus, reflecting a gross initial yield just under 32%. In Ipswich, the ALB group of companies has put the freehold Sailmakers Shopping Centre up for sale with a guide of £3m-plus, reflecting a gross initial yield of 34.8%. It was previously owned by LaSalle Investment Management.     In North Shields, Tyne And Wear, NewRiver is looking to sell the Beacon Centre, a majority freehold investment, with a guide of £2.75m-£3m, reflecting a gross initial yield of 32.14%. NewRiver bought the centre out of administration in 2013. A total of 129 lots are listed for the auction. Other lots include a small slice of Covent Garden, with a guide of £1.6m, reflecting a gross investment yield of 8%. The virtual freehold at 65a Long Acre, WC2, is let to Vietnamese restaurant Pho until 2026 at £130,000 per annum. The largest lot is a shopping parade with development potential in Barkingside, in Redbridge, east London, guided at £3.85m-plus – a gross initial yield of 8.33%. George Walker, partner and auctioneer, said: “Buyers have been bemoaning the lack of well-priced opportunities in the market, so this uptick in supply is very welcome and I am pleased to say it comes with a continued improvement in the quality of the assets on offer. “Buyers are keen to buy ahead of the market as inflation and interest rates begin to fall in the medium term, so we are already dealing with offers.” Image from Allsop