The Metric Income Plus Limited Partnership (MIPP), a joint venture between LondonMetric and the Universities Superannuation Scheme, has bought a B&Q warehouse in Hull and a Wickes warehouse in Dartford for £18.4m.

The deals reflect a blended net initial yield (NIY) of 6.8%.
The 71,000 sq ft B&Q store in Hull has been bought from Stobart Group and Roebuck Asset Management for £9.4 million, reflecting a NIY of 7.5%. The unit is let at £0.75 million p.a. with an unexpired lease term of 12 years.
The disposal is one of the last assets within the Moneypenny portfolio and now only two remain since Stobart Group’s acquisition in 2012.
The 40,000 sq ft Wickes retail warehouse in Dartford has been bought from a private investor for £9m. Simultaneous with the purchase, MIPP has granted a new 20 year lease to Wickes at a rent of £600,000 a year. The reflects a NIY of 6.2%.
MIPP was advised by Knight Frank on both deals and also by Beaton Associates on Dartford. Edgerley Simpson Howe represented Stobart and Roebuck.

BP Pension Fund purchased the freehold from Helical Bar in one of the few out of town retail investment deals agreed shortly after the Brexit vote. They paid £18,400,000 and achieved an initial ROI of 6.75%

It is the closest retail park to the town centre occupying a prominent location on the inner ring road. Benefitting from a fully open A1 retail planning consent, including food use, the Park is currently arranged as 6 stores with a total floor space of just under 100,000sqft. Occupiers include Aldi, Dunelm, B&M, Matalan, Poundstretcher and local multiple Wynsor Shoes. Unit sizes range from 6,000sqft to almost 30,000sqft and the average rental is about £13.50 psf. The Aldi lease containing some fixed rental uplifts.

ESH advised BP on the purchase

The park was sold for £11,000,000 after the charity regeared Boots’ lease for an additional 10 year term

The John Lyons Charity have disposed of their freehold interest in Wincheap Retail Park, Canterbury. The park was sold for £11,000,000 after the charity regeared Boots’ lease for an additional 10 year term, providing an overall WAULT of 6.75 years with no breaks. The 35,809 sq ft scheme is occupied by Boots, Mothercare, Argos and Carphone Warehouse and has an open A1 non-food planning consent. It is positioned on the south side of Canterbury City Centre, close to the A28/A2 intersection and adjacent to a Morrisons foodstore. The annual income of £744,344 shows the sale to reflect a net initial yield of 6.34%.

ESH acted for John Lyons Charity in both the regear and the sale.

Following a new letting to Bensons, the Wickes and Bensons in Redditch have been sold by CBREGI for £7,560,000 reflecting 6.79%.

The asset provides an unexpired term of 11.30 years or 10.25 years to breaks and totals 37,423 sq ft. The scheme has an open A1 including food planning consent and provides the purchaser with an annual income of £547,381, equating to an overall rate per sq ft of £14.63.

ESH acted for CBREGI on the Bensons letting and the sale.

The Works are the latest occupier to sign up to Parkgate Shopping Park. They have taken a 10 year lease on a 5,400 sq ft unit and opened in May this year.

Other occupiers to recently take units on the scheme are Card Factory, Nandos and Greggs.

ESH act for BMO Real Estate on Parkgate Shopping Park.

Helical Retail has funded its Cortonwood Shopping Park, near Rotherham, to clients of Aberdeen Asset Management for £36.3 million, showing the buyer a yield of c.5.5%
Over 95% of the 80,000sqft scheme was pre-let ‘off plan’ to Outfit, H&M, New Look, River Island, Marks and Spencer Simply Food, C&J Clark, JD Sports, Wilkos, Poundland and a Frankie & Benny’s Restaurant.  The project benefits from an open A1 non-food planning consent with a relaxation for the M&S food sales.  Construction work starts on 9^th May with completion due in June 2017.
Jonathan Cox, Managing Director of Helical Retail, said, “This is one of only a very few funding deals in the market at present.  The pre-lettings of 10 out of the proposed 11 units to some of the strongest fashion retailers in this sector will arguably create one of the best shopping parks available in recent times.”
Robert Cass, Head of UK Property Transactions at Aberdeen Asset Management said, “We are delighted to be funding this opportunity with Helical Retail who have a strong track record in delivering high quality schemes. The retailer line up attracted is testament to their confidence in the scheme and will build on the already very successful retail destination at Cortonwood “.
Edgerley Simpson Howe acted for Helical Retail on both the lettings and funding.