Capital & Regional’s retail fund The Junction has confirmed the purchase of Telford Forge Retail Park and Slough Retail Park for a total of £180m.
The Junction has exchanged contracts with Stadium Retail Investments to purchase Telford Forge Retail Park for £105m, reflecting a net initial yield of 4.1%.
Tenants on the 315,000 sq ft park, which has open A1 planning consent, include Sainsbury’s, Next, TK Maxx, Arcadia, Boots and JJB.
Slough Retail Park was purchased from Land Securities (LandSec) for £75m, which reflects a net initial yield of 5.8%.
The retail park, which has a bulky goods planning consent, comprises 150,000 sq ft and is occupied by DFS, Homebase, Wickes, MFI, Harveys, Furniture Land and Land of Leather.
Junction chief executive Andrew Lewis-Pratt said: “These acquisitions complement our already strong portfolio of prime retail parks throughout the UK.
“The purchase of Telford Forge Shopping Park is a particularly significant addition as it reflects our intention to create a more balanced portfolio of Open A1 and Bulky Goods parks.
“We will continue to invest in destination retail parks with high development and asset management potential, particularly those dominant within their catchments.”
The Junction now owns 19 retail parks bringing total assets to £1.2bn and more than 3.9m sq ft of floorspace.
King Sturge advised The Junction on the purchase of Telford Forge Retail Park whilst Stockford Staunton and Anderson Hawkins advised Stadium Retail Investments.
Montague Evans acted for The Junction on the purchase of Slough Retail Park whilst Savills acted for LandSec.
References: EGi News 01/04/05
