British Land buys in Rotherhithe and York
Published: 04 January, 2010
Segro – formerly Slough Estates – has completed its withdrawal from the retail property sector with the sale of its interests in two sites in London and York to British Land for £87m.
British Land has bought Segro’s 50 per cent interest in a joint venture with Tesco that owns the Surrey Quays Shopping Centre in Rotherhithe, South East London and the Clifton Moor Retail Park in York. The stake is valued at £87m and generates £5.65m pa in rent.
Surrey Quays totals 283,000 sq ft with 43 units. It is anchored by a 115,000-sq ft Tesco Extra and a 53,000-sq ft Bhs with the mall units arranged mainly at ground floor level between the two anchors. Other retail tenants include Arcadia, Boots, Currys, JD Sports, New Look, River Island and WH Smith.
The Clifton Moor retail park in York is located three miles north of the city centre and totals 222,728 sq ft including a 116,610-sq ft Tesco Foodstore. In addition there are seven retail warehouse units. Tenants include Wickes, Wilkinsons, Booths and Pets at Home.
British Land chief executive Chris Grigg said: "We are delighted to enter into a further joint venture with Tesco. These retail locations offer attractive opportunities for our asset management expertise to add value over the short and medium term."
