Mago Capital acquires prominent Kensington High St retail parade
Mago Capital has acquired 129-137 Kensington High Street, a prominent retail parade in West London.
The asset is fully let to five retailers including Rituals, Philip Morris International, Läderach, Vodafone, and Paris Baguette, alongside 20 residential flats above. The commercial element was sold with a weighted average unexpired lease term of 6.37 years.
Situated opposite the Kensington Arcade and in close proximity to High Street Kensington station, the parade benefits from high levels of footfall and an affluent catchment.
The asset was marketed by Green & Partners on behalf of DTZ IM with an asking price of £26.65m. Colliers’ One London team acted for Mago Capital.
This transaction brings the valuation of Mago Capital’s London portfolio to approximately £500 million, following the group’s recent acquisition of Notting Hill Gate Estate.
Avi Rosenfield, associate director in the One London team at Colliers, said: “This trophy block on Kensington High Street is an iconic piece of London real estate, and its sale demonstrates the strong demand we’re seeing from investors for stable, well-located assets across the capital. The prime retail market has rebounded significantly since Covid, sparking renewed interest from both occupiers and investors for these London gems. There is strong rental growth potential across the retail units, and the existing residential element offers an attractive value-add play.”
Paul Souber, head of One London, added: “Having been involved in this block for over two decades in various guises its very satisfying to have advised on this acquisition utilising our One London platform which rooted in market intelligence, seamlessly combines investment, leasing and advisory expertise with Colliers’ global reach.”
The recently-launched One London team brings together Colliers’ team members across retail, food and beverage, capital markets, office leasing, tenant representation and strategy and analytics.
Eastway Estates, Brotherton and Fladgate LLP advised on the transaction.