Standard Life buys in Trowbridge
Published: 05 April, 2011
Standard Life Investments’ UK Property Fund has bought the Gateway shopping park in Trowbridge, Wiltshire, from Parkridge for £20.675m
The park, located close to the town centre, was completed in 2009 and comprises six retail warehouses totalling 56,630 sq ft and a 226-space car park. The retail units are let to Next, New Look, Argos, Boots and Brantano. There is one vacant unit in the development, which was purchased off an initial yield of 5.7 per cent.
Trowbridge is the county town of Wiltshire and is located 12 miles south east of Bath and 19 miles south east of Bristol. Unlike many retail warehouse developments, The Gateway Shopping Park is located in the centre of the town’s retail offering.
The investment objective of the UK Property Fund is to provide a return from capital appreciation and income over the longer term. The current policy of the fund is to invest primarily in UK commercial property and this purchase reduces its cash position to 10.70 per cent.
Fund manager Nigel Chapman said: “We are delighted that we have been able to increase the Standard Life Investments UK Property Fund’s exposure to prime retail real estate. The Gateway shopping park provides good diversification in terms of income, reduces the cash balance held in the Fund and provides an attractive yield for investors.”
Standard Life Investments was represented by Stockford Staunton and King Sturge represented Parkridge.