Aberdeen Investments, on behalf of the Standard Life Pooled Pension Property Fund, has acquired Sears Retail Park, Solihull for £69.6m. It is the second such investment for the Fund in the last 12 months, having acquired the Tandem Centre in Colliers Wood last year.
The property comprises a mix of modern, state of the art accommodation extending to a total of c.136,300 sq ft. The scheme comprises a linear terrace, together with a highly prominent stand-alone unit and two further semi-detached units. The park has excellent accessibility and sits within Solihull, one of the most affluent centres in the Midlands conurbation.
It is anchored by Marks & Spencer and Next, who have leading national stores with two full floors of retailing and a food hall in the M&S. Other tenants include TKMaxx, Homesense, Boots and Mountain Warehouse. Aberdeen’s Real Estate House View is positive on retail parks – rating them highly in its ranking of sub-sectors on a five-year horizon.
David Stewart, Fund Manager, Aberdeen Investments for the Standard Life Pooled Pension Property Fund says:
“There remain some good opportunities in retail parks where occupational costs have been rebased. Retailer demand for key locations is robust and yields remain relatively attractive. This asset has all these attributes and reflects our strategy of acquiring prime assets where we can add value through our proven asset management capabilities and strong retailer relationships. It is an excellent addition to the fund’s portfolio.”
The Standard Life Pooled Pension Property Fund is a £1.77bn fund investing in UK real estate to provide long-term growth from a combination of income and capital appreciation.
The portfolio currently has a circa 21% weighting to retail property.
Aberdeen was advised by CBRE.
