LONDON, 6 June 2016 – CBRE Global Investors, acting on behalf of a pension fund client, has acquired Central Retail Park in Milton Keynes from Rockspring Property Investment Managers’ TransEuropean Property Limited Partnership IV. The deal was an off market transaction for £34.97 million, reflecting a 5.84% p.a. net initial yield.
The park totals 107,700 sq ft with a fully open A1 planning consent including food and is fully let to Pets at Home, Hobbycraft, Next, Poundland, Halfords, Decathlon, Smyths Toys, EE and Go Outdoors. The investment provides a weighted average unexpired lease term (WAULT) of just over 8.5 years to breaks and is let off an affordable rental base averaging £20 per sq ft.
Tim Munn, Senior Director, CBRE Global Investors, said: “We are pleased to secure this retail park, which fits our strategy of enhancing the quality and scale of our client’s retail assets. Milton Keynes has strong demographics and the park has an attractive retailer mix and an excellent trading profile. We believe the park is well placed for rental growth and presents a number of asset management opportunities.”
Paul Hampton, Partner at Rockspring and Fund Director, TransEuropean said: “Since taking ownership in late 2009, the team has successfully re-tenanted and stabilised this investment and with this sale, closed out an exciting and rewarding value-add business plan for TEP IV.”
Montagu Evans advised CBRE Global Investors and Harvey Spack Field advised Rockspring.
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About CBRE Global Investors
CBRE Global Investors is a global real estate investment management firm with $89.7 billion in assets under management* as of March 31, 2016. The firm sponsors investment programs across the risk/return spectrum for investors worldwide.
CBRE Global Investors is an independently operated affiliate of CBRE Group, Inc. (NYSE:CBG). It harnesses the research, investment sourcing and other resources of the world’s premier, full-service commercial real estate services and investment company for the benefit of its investors. CBRE Group, Inc. has more than 70,000 employees in more than 400 offices (excluding affiliates) worldwide. For more information about CBRE Global Investors, please visit www.cbreglobalinvestors.com.
*Assets under management (AUM) refers to the fair market value of real estate-related assets with respect to which CBRE Global Investors provides, on a global basis, oversight, investment management services and other advice, and which generally consist of investments in real estate; equity in funds and joint ventures; securities portfolios; operating companies and real estate-related loans. This AUM is intended principally to reflect the extent of CBRE Global Investors’ presence in the global real estate market, and its calculation of AUM may differ from the calculations of other asset managers.
Past performance is not a guarantee of future performance.
About Rockspring Property Investment Managers
Rockspring Property Investment Managers LLP is a professional investment fiduciary specialising in the acquisition and management of commercial property throughout the UK and continental Europe on behalf of major institutional clients – either directly for single-client accounts or through the Group’s series of tax-efficient, co-mingled investment funds. Rockspring is authorised and regulated by the FCA.
Fully independent and 100% owned by its Senior Management and employees, Rockspring is headquartered in London and has a network of offices in Amsterdam, Berlin, Brussels, Madrid, Paris and Warsaw as well as Client Services offices in Seoul, Sydney, and Washington, D.C. Its Executive Committee includes Robert Gilchrist (Chief Executive), Edmund Craston (Managing Director) and Ian Baker (Partner – Finance).
Rockspring was established in 1984 by founder and Non – Executive Chairman, Richard Plummer.
As at December 2015 Rockspring had gross assets of €8.2 billion in funds under management and undrawn commitments. It represents a diverse client base including Rockspring Hanover Property Unit Trust, Rockspring PanEuropean Property Limited Partnership, Rockspring TransEuropean III, IV, V and VI, The Rockspring German Retail Box Fund, Rockspring UK Value Funds 1 and 2, and single client mandates. Rockspring’s property assets are currently located in the UK and 13 other European countries.
For further information, please visit www.rockspringpim.com