Redevco confirms £518m retail park portfolio acquisition
Redevco has confirmed the acquisition of a 16-strong retail park portfolio from Oxford Properties for £518m.
Oxford Properties assembled the portfolio via the M7 Real Estate specialist platform, which it acquired in 2021.
Redevco said the transaction marks a significant milestone in its aim to build one of the largest retail park asset management platforms in Europe. Following the acquisition, the Amsterdam-based firm manages a gross asset value of around €5bn (~£4.1bn) across almost 200 retail park assets, predominantly in Belgium, Germany, Spain, and the UK.
Neil Slater, CEO of Redevco, said: “This acquisition is a welcome addition to our pan-European platform, demonstrating our confidence in this sector. Retail parks combine cash-flow resilience and adaptability, making them a compelling investment. Having focused on this sector internationally for years, we’re delighted to supplement our holdings at a fascinating time for the UK market.”
James Boadle, senior vice president at Oxford Properties, added: “This sale crystalises the value we have created through our strategic move into the retail sector during the period of dislocation created by covid and by leveraging our M7 Real Estate platform to aggregate and asset manage a high quality, institutional-grade portfolio of retail warehouses. The assets were acquired off-market allowing us to gain exposure at an attractive price point and benefit from the arbitrage vs comparable supply chain and urban logistics assets. Having delivered on our business plan we have chosen to divest and recycle capital into new opportunities across the UK and Europe.”
As previously reported, the portfolio comprises:
- B&M and Hobbycraft, Tunbridge Wells
- Bolton Gate, Bolton
- Chelmer Village Retail Park, Chelmsford
- Euro Retail Park, Ipswich
- Gapton Hall, Great Yarmouth
- Hailsham Retail Park, Hailsham
- Halfords and Homebase, Staines
- Homebase, Colchester
- Imperial Retail Park, Gravesend
- Neatscourt Retail Park, Queensborough
- Parc Pemberton Retail Park, Llanelli
- Pompey Centre, Portsmouth
- Poole Retail Park, Poole
- St Peters Wharf Retail Park, Maidstone
- Weston Retail Park, Weston-super-Mare
- West One Retail Park, Manchester
David Ebbrell, CEO of M7 Real Estate, said: “Having acquired these assets at a time when we saw deep value in the retail warehouse sector, our asset management teams then undertook a series of income enhancing and value enhancing projects to create an institutional quality portfolio which is well positioned for the future. We now look forward to recycling the proceeds of this sale into new opportunities.”
The off-market deal was brokered Glenlyon Real Estate with investment and asset management advice from Staunton Whiteman, CSP and McMullen Real Estate. Savills advised Oxford Properties & M7 Real Estate.