Osprey Equity Partners, the private equity investment manager, has acquired through a forward funding structure a large Sainsbury’s food store, petrol filling station and KFC restaurant in Middlesbrough for £48.2m.
The food store and petrol filling station have been pre-let to Sainsbury’s on a new 25 year, RPI-linked lease.
The property is being developed by Terrace Hill, part of Urban & Civic plc. The project equity has been funded by Osprey’s family office investors and debt finance has been provided by The Royal Bank of Scotland plc.
John White, co-founder of Osprey said: “The Sainsbury’s provides secure, long-dated RPI income for our family office investors. The property also benefits from a large and strategically located 16 acre site, 850 surface parking spaces, nine pump petrol filling station and KFC restaurant, with a substantial catchment population.”
Osprey specialise in forward funding real estate developments for family office and high net worth investors and have funded some £250m of long-dated assets in the last 24 months.
Osprey is part of LJ Group, a privately-owned multi-family office and merchant bank, which also backs Queensgate Investments, Whitebridge Hospitality and Hadley Property Group.
Knight Frank acted for Terrace Hill.
