A subsidiary of Kier Group has sold a circa £50m long leasehold interest in its retail park in Sydenham, south London, to CBRE Global Investors on behalf of the West Midlands Pension Fund.
The 999-year leasehold interest in Bell Green Retail Park, which measures 142,879 sq ft GIA, reflected a 5.9% yield.
The 9.76-acre site has five retail warehouse units and four light-industrial units, as well as a drive-through restaurant and 460 car parking spaces.
It is let to retailers including Pets at Home, Next, Currys/PC World, B&Q, McDonalds, Plumb Centre and Halfords.
Kier had initially sought to sell the long leasehold for the park for £55m, at a net initial yield of 5.36%.
The retail park was developed on the site of the former Bell Green Gasworks, and was remediated to prevent any further contamination issues.
Since Kier has retained the freehold, no liability has been passed to the buyer.
Kier Group previously sold its assets in the retail park to another part of its business, limited partnership Kier Sydenham, for £46m in 2013.
Kier owned 50% of the limited partnership, alongside trustees of the Kier Group pension scheme.
Cushman & Wakefield advised Kier on the sale.
All parties declined to comment.
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