Glenbrook Investments has completed the acquisition of Eastgate Retail Park in Accrington Lancashire for £2.825million, achieving a Net Initial Yield of 12.73%.
Located in the heart of the town centre, the Park comprises 35,434 sq ft retail accommodation on the 4.91-acre site and is occupied by tenants including Home Bargains, Pets at Home and The Food Warehouse. In addition, the scheme offers development with previous consent for an additional unit of approximately 16,000 sq ft.
Speaking about the deal, Chris Lloyd, investment director at Glenbrook, said: “We are thrilled to have completed this purchase. Despite the negative rhetoric around retail in general, retail warehousing has positive metrics and some very resilient tenants that have continued to trade well throughout lockdown. The locations of these parks have great connectivity and values are underwritten by alternative uses such as trade park industrial and last mile logistics. We hope and plan to acquire more assets of this nature over the next 12 months.”
Robert Millington at Cheetham & Mortimer added: “With a passing rental of £382,710 per annum, this asset generates an attractive income return whilst presenting numerous opportunities to add value in the future. Schemes of this size and nature have become increasingly dominant within the local shopping hierarchy and we expect this trend to continue”
Cheetham & Mortimer advised Glenbrook. Aston Rose acted on behalf of the vendor.