NewRiver buys four malls from Zurich
Published: 27 June, 2011
£68m deal for four food-anchored shopping centres
NewRiver Retail, the AIM-isted shopping centre investor is to raise £40m in a share placing to finance the £68m purchase of four centres in Camarthen, Paisley, Skegness and Wisbech from Zurich Assurance.
The schemes have a net lettable area of 502,500 sq ft and include 122 tenancies providing good income diversification. Approximately 60 per cent of income is derived from food and value retailers.
Merlin's Walk in Carmarthen opened in 1998 and comprises 103,300 sq ft of sales and ancillary accommodation in 24 retail units. The centre is arranged in an open street format with ground floor retail and first floor ancillary accommodation. It is located next to the Carmarthen bus station and adjacent to a 350 space car park and a large Wilkinsons store. The anchor tenants for the center are TK Maxx, Poundland, Argos and Store21.
The Piazza Shopping Centre in Paisley was developed in 1968 with an extension in 1975. The centre, which is situated in a prime location, underwent a major refurbishment in the 1990s. It provides a covered single level shopping centre extending to 252,000 sq ft of retail and offices in 40 units together with a 366 space multi-storey car park.
The centre is well located next to the train station and the town's principal bus station. The Centre dominates the Paisley retail offer and is anchored by The Co-operative, New Look, Peacocks and Poundland.
The Hildreds Shopping Centre in Skegnessis a fully covered 55,000-sq ft centre that opened in 1988. The Centre comprises 30 stores including Evans, Burtons, H.Samuel, WH Smith, Claire's Accessories and Wilkinsons. The Centre, which is the town's only managed centre, is anchored by The Co-operative and Home Bargains and contains 320 car parking spaces. Skegness benefits from a significant tourist industry.
The Horsefair Shopping Centre in Wisbech has 26 retail units comprising 92,000 sq ft of sales and ancillary accommodation. The Centre was opened in 1989 and built in a single storey open street format, with car parking for nearly 400 cars and the bus station immediately adjacent. The centre is Wisbech's only managed centre and is anchored by the Co-operative with key tenants including Boots, Poundland, Superdrug, New Look, Argos and The Co-op.
David Lockhart, Chief Executive Officer, said: "The company has already identified a number of significant opportunities to apply its active asset management and risk-controlled development skills which will enhance value. We are also very pleased to announce the proposed equity fund raising at this time. The support we have received from new and existing investors in challenging markets has been very encouraging.
