Tonbridge retail park in Kent sells for £22m
A 61,000 square foot retail park in Tonbridge, Kent has been sold by LondonMetric Property Plc for £22 million, representing a net initial yield of 5.25 per cent.
Morgan Williams provided advise on the transaction, while CRBE advised the purchaser.
LondonMetric originally acquired the retail patk in 2013 for £11.5 million, when it was let to B&Q and Halfords. The B&Q was subsequently reconfigured and extended after LondonMetric accepted a surrender on it.
The park is currently fully let to M&S, Halfords, Food Warehouse, Home Bargains, Carpetright, Costa and Jollyes, with a weighted average unexpired lease term of 11 years. In the time LondonMetric has owned it, rents at the park have risen 44 per cent to £1.2 million per annum.
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In a separate transaction, the company has disposed of 30,000 square feet of urban warehousing in Digbeth, Birmingham, for £6.2 million.
Proceeds from the sales, which are 1 per cent below LondonMetric’s 31 March 2022 book value, will be used in the short term to pay down some of the Company's revolving credit facility.
Andrew Jones, Chief Executive of LondonMetric, said: "These are strong, opportunistic sales and demonstrate that, despite macro challenges, there is still liquidity for very well located assets. At Tonbridge, the completion of our accretive asset management initiatives have delivered a high quality grocery-led asset that is let on long leases to an excellent line up of retailers."
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Featured image: iStock
