Gracechurch Centre sold for £88m
PROPERTY investment company Capital & Regional has sold the Gracechurch Centre in Sutton Coldfield to M&G Real Estate for £88m.
The London firm’s Mall Fund has completed the disposal of both the Sutton Coldfield shopping centre and The Pavilions, Uxbridge, for a combined consideration of £152.5m.
Capital & Regional say these sales mark the successful completion of the strategy to dispose of non-core shopping centres to reduce the debt in the Mall to a level that can be refinanced on more attractive terms.
Chief executive Hugh Scott-Barrett: said: “The disposal of the two schemes is a key moment in deleveraging The Mall.”
Plans to develop and extend the Gracechurch Centre have largely been put on hold during the recession and retailers there will be hoping the new owners will revisit those plans.
Meanwhile, LondonMetric Property has exchanged contracts to acquire a WH Smith distribution unit in Birmingham for £10.1m, reflecting a net initial yield of 7.9%.
The unit, based in Witton, is 211,000 sq ft and is let for 11 years to WH Smith. It is one of three WH Smith distribution warehouses across the UK that supplies its UK High Street and travel outlet business.
Burbage Realty advised LondonMetric on the deal.
