Royal London Asset Management (RLAM), advised by CWM Out Of Town, has completed on the forward purchase of Horizon Retail Park in Farnborough, with Steamrock Capital in joint venture with Catalyst Capital for £38.78 million, reflecting a net initial yield of 5.25%.
Horizon Retail Park comprises almost 80,000 sq ft of retail warehouse space and 228 car parking spaces and recently opened for trade. The development incorporates six retail warehouse units let to Sofology, Wren Kitchens, Oak Furnitureland, Harveys, Tapi and Hobbycraft.
Mike Lawrence, Head of Retail in Royal London Asset Management’s property team, said: “Horizon is an excellent acquisition for us and is in line with the Royal London Pension Property Fund’s objectives of acquiring best in class assets within demographically strong locations across the UK.”
Mark Powell, Partner at CWM Out of Town, commented: “This brand new retail park asset is a rare beast and much sought after in the current market given its affluent south east location”.
Dan Neary, founder of Steamrock Capital, said: “Horizon is a fantastic demonstration of our ability to source unloved assets and produce institutional product. We have developed a high-quality asset in less than two years after acquiring the site. It has been a pleasure dealing with Royal London and we continue seeking to acquire similar development opportunities throughout the UK”.
Steamrock Capital was represented by Morgan Williams.
