Scottish Widows Investment Partnership, acting on behalf of Scottish Widows Unit Funds, has sold 37 and 41 Eastgate Street in Chester, Cheshire, to the Royal London Mutual Insurance Society for £12.35m – a 4.67% net initial yield.
37 Eastgate Street is let to fashion retailer Next on a lease that expires in December 2020 and 41 Eastgate Street is let to shoe chain Russell & Bromley on a lease, which expires in December 2014.
James McLean, investment manager of real estate at SWIP, said: “The sale of these prime retail shops was a strategic move where we took the decision to lock in the strong performance generated from the asset, following completion of a key active management initiative. We will continue to actively identify opportunities with a key focus on the central London office sector, which we believe is well positioned to benefit from strong rental growth prospects going forward.”
Jackson Criss represented SWIP and Savills Royal London.
annabel.dixon@estatesgazette.com
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