£26.5m deal adds parks in Dewsbury and Cardiff
NewRiver bas bought two retail parks for a £26.5m, representing an initial yield of 8.9 per cent and a capital value of just £141 per sq ft. Both retail parks have good occupier demand opportunities to add value through active asset management.
In Dewsbury, West Yorkshire, the Rishworth centre and adjoining Railway Street retail park were bought from an institutional investor for £14.3m, which equates to a net initial yield of 7.9 per cent. The assets have an affordable average rent of £12.98 per sq ft and a weighted average unexpired lease term of 5.7 years.
The 68,400-sq ft Rishworth Centre comprises four retail units and 265 free car parking spaces, and the 23,700-sq ft Railway Street Retail Park comprises three retail units and 116 free car parking spaces. The occupier line-up includes Next, Pets At Home and Iceland.
And in Cardiff the Valegate retail park was bought from an administrator for £12.2m, which equates to a net initial yield of 10.0 per cent. The asset has affordable average rents of £13.82 per sq ft and, a WAULT of only 3.1 years. The 93,600-sq ft retail park comprises seven units and 325 free car parking spaces and is anchored by TK Maxx.
