Hammerson has exchanged contracts to sell its Abbotsinch Retail Park in Paisley to Ashby Capital, fronted by Quadrant Estates, for £67m.
The REIT said the sale price represents a net initial yield of 7.8%, and is 3% below June book value.
The 26,500 sq ft retail park’s tenant line-up is anchored by B&Q, and also includes Dunelm, Tapi and Natuzzi.
Hammerson bought the site in 2012 for £42m. It has added more than 93,640 sq ft of retail floor space through phased developments since its purchase, costing £17m.
Average rent per sq ft has risen by some 17.8% during the past seven years, from £17.78 in 2012 to £20.95 in 2019.
If the deal proceeds, Hammerson will have exceeded its £500m minimum disposal target for the year to reach £523m.
David Atkins, chief executive of Hammerson, said: “Our absolute priority is to reduce debt, and with this deal we have exceeded our target of over £500m in disposals in 2019.
“We continue to progress negotiations on additional assets across the portfolio. Disposals enable us to prove the value of this business and strengthen our balance sheet, and also give us the flexibility to benefit from the opportunities that will arise in the coming years, particularly with regards to our City Quarters pipeline.”
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