Aberdeen Investments, acting on behalf of the Standard Life Pooled Pension Property Fund, has acquired Sears Retail Park in Solihull for £69.6m.
This marks the fund’s second retail park purchase within a year, following its acquisition of the Tandem Centre in Colliers Wood, south London.
The site covers circa 136,300 sq ft and is anchored by retailers Marks & Spencer and Next, with M&S also operating a food hall.
Other occupiers include TK Maxx, Homesense, Boots and Mountain Warehouse.
Aberdeen’s Real Estate House View remains positive on the retail park sector, ranking it highly among subsectors over a five-year outlook.
The Standard Life Pooled Pension Property Fund, valued at £1.7bn, focuses on UK real estate and aims at delivering long-term returns through both income and capital growth. Around 21% of the fund’s portfolio is currently allocated to retail assets.
David Stewart, fund manager at Aberdeen Investments for the Standard Life Pooled Pension Property Fund, said: “There remain some good opportunities in retail parks where occupational costs have been rebased. Retailer demand for key locations is robust and yields remain relatively attractive.
“This asset has all these attributes and reflects our strategy of acquiring prime assets where we can add value through our proven asset management capabilities and strong retailer relationships. It is an excellent addition to the fund’s portfolio.”
Aberdeen was advised by CBRE.
Image from Aberdeen
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