London-headquartered Reit acquires Lisburn retail park for €46.6m
London-headquartered NewRiver Reit has acquired Sprucefield Retail Park, Lisburn from Intu Properties for £40m (€46.6m).
The price paid is £30m less than what Intu paid for the development in 2014.
The park is located one mile south of Lisburn city centre.
The 47-acre site comprises of a five-unit retail park providing 231,000 sq of retail space, a 1,200-space free car park, and 18 acres of development land.
Its shops are headed up by Sainsbury’s and B&Q, and has an average rent of £16.11 per sq ft, with a weighted average unexpired lease term of seven and a half years.
The price paid by NewRiver represents a net initial yield of 8.7pc.
Rent from the retail park will generate yearly income of £3.7m for the company.
Allan Lockhart, chief executive of NewRiver, said that in addition to "an attractive long-term income return, the development land offers the opportunity to deliver significant capital growth, leading to a very attractive total return.
Our successful disposal programme in this financial year places us in a position to take advantage of current market dislocations and make highly accretive acquisitions such as Sprucefield Retail Park and the recently-acquired Poole Retail Park."