Picton Makes Retail Park Buy

Picton has acquired Gloucester Retail Park for £14.65m, reflecting a yield of 6.9%.

The retail park comprises four units totalling 112,000 sq ft and is leased to leading discount retailers B&M Bargains, Carpetright, The Range and AHF.

It produces an annual income of £1.067m with an average weighted lease length of 13.2 years at a low average rent of under £9.60/sq ft.

Michael Morris, chief executive, said: “We think this is an attractive entry point, recognising the income longevity and low overall rent, and believe there are a number of asset management opportunities which should enhance income and value during our ownership.”

ESH Advised Picton.