British Land sells stake in ?72 million Hercules ... - Europe Real Estate

The transaction, which represents a total property value of ?72 million (approx. 93 million) (British Land share ?19 million) and net initial yield of 6.5%, is slightly ahead of the March 2012 valuation.

The 293,700 ft?(approx. 27,300 m?) portfolio comprises seven retail warehouse properties (in Barnstaple, Evesham, Hove, Uddingston in Glasgow, Newton Abbot, Plymouth and Weymouth) and total contracted rent of ?4.7 million per annum.

Over the last three years British Land, as asset manager for the fund, has generated ?1 million of additional rent through a number of successful initiatives, which have contributed to HIF?s total property return outperforming IPD All Retail by on average over 400bps a year.

Charles Maudsley, Head of Retail for British Land, said: ?This sale has allowed us to realise the benefits of our asset management at just above book value, as well as continuing to recycle British Land?s capital in line with our overall approach.?

British Land was represented by Wilkinson Williams and Savills acted for LaSalle.

Source: British Land

Source: http://europe-re.com/system/main.php?pageid=2616&articleid=20769

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