Helical Bar has continued its shift out of secondary retail and into industrial and retail parks.
Asset sales at the listed propco totalled £160m with the majority coming from the disposal of shopping centres in Corby and Clydesdale. At £71.7m and £70m respectively, they achieved a book premium of 4.4% but marked the end of the company’s involvement in secondary retail.
Recent purchases have increasingly come from office portfolios and retail parks. Since October the company has acquired retail parks in Southend and Scarborough, two portfolios of industrial estates and retail warehouses and distribution centres across the UK.
A spokesman for the company said the change to the portfolio came as the company sought to exploit its flexibility and add most value from each sector.
They added the industrial sector held more potential for returns in the coming years, while the secondary retail market was reaching its full potential.
The listed property company also reported activity across the rest of the portfolio, including the first phase of sales at its Barts Square development and new banking facilities.
Barts Square, which started in January, saw 65% of the residential units sold in pre-sales activity.
In addition, The Bower, a commercial development in EC1, has achieved lettings of 42,798sq ft at £40-50.25 per sq ft to two tenants, Farfetch and John Brown Media.
In the same period, Helical brought in new financing. £81m at 3.48% from Aviva Commercial Finance covered £27m in existing debt and added £54m to the cash reserves. Also a £165m revolving credit facility in conjunction with partner Baupost from HSBC and an extension to 2019 on the £75m revolving credit facility from Barclays.
