Bullring owner in £42m Telford acquisition
PROPERTY group Hammerson, part owner of Birmingham’s Bullring shopping centre, has expanded its West Midlands portfolio with a major acquisition.
The company has acquired the Wrekin Retail Park in Telford from the property arm of insurance giant Legal and General – Legal and general property – in a deal worth £42m, which includes costs.
Legal and General Property has owned the park since its development in 1996.
The 13,500m² (145,261 ft²) park has open A1 planning consent and adjoins an owner-occupied Tesco Extra store. Wrekin Retail Park is fully let to nine retailers including Asda Living, Boots, Homebase and Matalan.
Gross rental income is £2.6m per annum with an average unexpired lease term of over 10 years. Average rents are approximately £18 per square foot.
The retail park is located to the west of Telford town centre, beside junction 6 of the M54. Its primary catchment population is around 270,000.
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David Atkins, chief executive of Hammerson said: “Retail Parks represent a significant part of our portfolio. They remain in demand from our occupiers and their customers thanks to their convenience, accessibility and affordability for tenants.
“Wrekin is an excellent asset with a strong anchor and wide planning consent. It has secure, reversionary income, and we aim to improve future returns through specific asset management initiatives including the introduction of further high quality brands and increasing the catering offer.”
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