LondonMetric has acquired two Marks & Spencer stores in Newport on the Isle of Wight and Kendal in Lancashire for £24.6m, reflecting a yield of 5.45%.
The two edge-of-town-centre properties are let to M&S at a total rent of £1.4m a year, subject to annual rental uplifts of 2%. The existing lease runs for a further ten years.
The acquisitions will complement LondonMetric’s existing convenience portfolio which now includes eight M&S stores and four Aldi stores and is valued at £85m with a WAULT of over 13 years.
Andrew Jones, chief executive of LondonMetric, said: “Consumer shopping patterns continue to evolve and we remain convinced that logistics and convenience retail are on-going beneficiaries of these changes as retailers look to invest further in their click and collect distribution infrastructure.
“We have very good relationships with M&S and this is a rare opportunity to acquire two strongly performing stores.”
LondonMetric was advised by Fawcett Mead and CBRE. Savills and HP4 advised the vendor.
10 August 2017
9 August 2017
17 July 2017