PillarCaisse has sold Fairhill shopping centre in Ballymena, Northern Ireland, to a private family trust for £13.5m, around £2m more than it paid for the scheme in 1994.
The disposal, which reflects an initial yield of 7.2%, follows a string of recent acquisitions by both PillarCaisse and Pillar Property Investments.
PillarCaisse chief executive Simon Winslow said the sale reduced the company’s exposure in Northern Ireland, where it also owns the Bangor’s Bloomfield Centre and the next-door retail park. “There are one or two obvious gaps in our geographical coverage: we are looking at acquiring retail in the North East and the South West,” he added.
Fairhill was built by CWS in 1991 and covers 13,935 sq m (150,000 sq ft). The development is anchored by Marks & Spencer and the Co-op.
Last week, PillarCaisse, a joint venture between Pillar and Canadian pension fund SITQ, acquired the Cross Gates Centre in Leeds for £20m and Accrington’s Arndale Centre for £17.5m, both from P&O Shopping Centres. The deals achieved yields of 9.8% and 8.8% respectively.
Pillar itself has just spent £16.3m on Newport Retail Park in a deal reflecting 8.6%, and £8.9m on Northwich Retail Park, equivalent to an 8.4% yield. The vendors were Johnsey Estates and Lancashire County Council Pension Fund.
Richard Ellis advised PillarCaisse on the Fairhill transaction while Phillips Wilks & Partners and Lambert Smith Hampton represented the vendor, a charitable trust.
EGi News 16/01/97
