Paton’s Mill Retail Park, located on the edge of Johnstone, Renfrewshire, has been sold in a multi-million-pound deal.
The retail park has been acquired by OCO Group – a special purchaser and operator of the on-site Starbucks franchise – for around £7.9 million, in line with the asking price. Knight Frank represented Knight Frank Investment Management Long Income Property Unit Trust (KFIM LIPUT), the vendor.
KFIM LIPUT forward funded the original development in 2018 on the former site of Paton’s Mill, a historic textile plant.
The park consists of two retail warehousing units of 17,150 sq. ft. and 15,286 sq. ft., which are let on long-term leases to Aldi and Home Bargains, respectively, alongside the 2,222 sq. ft. drive-thru unit currently occupied by OCO.
John Rae, capital markets partner and head of Knight Frank Glasgow, said: “Having funded the original development, this is a successful exit for KFIM LIPUT. Retail parks have been resilient throughout the challenges faced by the wider sector in recent years, which is reflected in the price for Paton’s Mill.
“The park has strong occupiers with long-term commitments and a relatively captive market nearby. The fact that the park was purchased by one of the occupiers is testament to the success of the development and the strong trading performance of the tenants since it opened around five years ago.”