NewRiver Retail has made three acquisitions totalling £121m as it deploys the £150m recently secured in an equity fund raising.
The REIT has confirmed the purchase of the Ramsay Retail Warehouse Portfolio from Morrisons for £69.1m – a net initial yield of 8% – as revealed by Estates Gazette.
The portfolio comprises nine retail parks and four development sites with planning permission.
Investing in sites with development potential and retail warehousing formed part of Morrisons’ original expansion strategy.
It had earmarked these 13 investments for future development, at which the supermarket would become the anchor of a wider retail scheme.
NewRiver has also bought two assets from LVS, a subsidiary of Bravo II*.
It has paid £29m for a 50% stake in the Trent JPUT portfolio of Marston’s public houses, bringing the portfolio entirely under NewRiver ownership.
It has also paid £23m for the 50% stake it does not own in the Camel III JPUT portfolio of five shopping centres – a net initial yield of 7.2%.
NewRiver chief executive David Lockhart said: “We are delighted to have completed these three major acquisitions totalling £121m, effectively deploying the £150m equity capital raised which completed last week. Following the completion of these acquisitions our assets under management now total £918m, the vast majority of which are on our own balance sheet.”
