Metric fund buys in Orpington
Published: 02 December, 2011
Metric Income Plus Limited Partnership in Carpetright sale-and-leaseback
Metric Property Investments, on behalf of the Metric Income Plus Limited Partnershipwhich was launched last month, has agreed a sale-and-leaseback on Carpetright’s 48,300-sq ft retail unit in Sevenoaks Way, Orpington for £6.25m. The purchase reflects a net initial yield of 7.6 per cent.
Carpetright has signed a new 15-year lease at an initial rent of £506,300pa, reflecting £10.45 per sq ft with five-yearly rent reviews indexed to RPI. The unit is prominently located opposite the 101,500-sq ft Springvale Retail Park and close to the 115,000-sq ft Nugent Shopping Park.
MIPP is the recently launched £150 million joint venture between Metric and Universities Superannuation Scheme launched in mid-November. It has now invested £26.2m in a total of three assets with rents averaging £14.10 per sq ft. The properties are fully let with an unexpired lease term of 17.5 years.
Metric chief executive Andrew Jones said: "Secured off-market, this is a compelling acquisition for MIPP and comes only a couple of weeks after the joint venture was formed. The property is one of a number of pipeline deals that we have identified that support the MIPP strategy and has favourable underlying fundamentals located in a very strong retail pitch with high occupier appeal.”
Harvey Spack Field advised the purchaser.
