Hammerson buys St Martins portfolio
Published: 23 March, 2011
Hammerson has exchanged contracts to buy a portfolio of six retail properties from St Martins Property Investments Limited for £208m.
Passing rents on the properties are £17.2m, and after taking account of vacancy charges and other direct costs the yield on purchase price is 7.0 per cent.
The assets acquired are: the 700,000-sq ft Centrale shopping centre in Croydon's town centre; the 100,000-sq ft Monument Mall in Newcastle; Elliott's Field, a 140,000-sq ft open A1 retail park in Rugby; the 180,000-sq ft Three Spires shopping mall in Lichfield; the 65,000-sq ft Cathedral Lanes in Coventry and a 45,000-sq ft Wickes retail warehouse in Folkestone.
Hammerson Chief Executive David Atkins said: "We have a clear strategy of selling mature assets to recycle capital into properties where we can use our skills to generate superior returns. This transaction is a rare opportunity to secure a group of good properties in strong trading locations with significant asset management potential. We believe we can rejuvenate and transform Centrale, Monument Mall and Elliott's Field, thereby improving retailer sales and increasing asset values."
