Avison Young appointed on £60m retail park portfolio sale14 Feb 2020
Avison Young to manage the sale of Omaha Portfolio throughout the UK.
Harbert Management Corporation has appointed Avison Young to manage the sale of its ‘Omaha’ portfolio of retail parks, located in Blyth, Boston, Chesterfield, Dewsbury, Dumfries, Grantham, Manchester, Northampton and Skegness.
The Portfolio comprises eight retail parks in England and one in Scotland, totalling over 470,000 sq ft. It is 97% occupied by tenants including Matalan, B&M, TK Maxx, Wickes, B&Q, Hobbycraft, The Range, Dunelm, Currys PC World, Pets at Home, Halfords and Pure Gym. Avison Young has been instructed to market the assets off a blended net initial yield approaching 9%.
Miles Marten, Principal and managing director of Retail Investment at Avison Young, said:
“Whilst parts of the retail market are struggling, occupiers in decent out of town schemes, let off the right rents, continue to perform well. The added benefit of this portfolio is a diversified spread of risk across a range of covenants and locations.”
“Having sold a portfolio of retail warehouses to Harbert in 2014, we remained close to the purchase and subsequently got instructed as letting agents. We have provided Harbert with strategic advice over the last few years and negotiated the sale of two individual assets for the vendor. This has culminated in Avison Young being instructed to market the Omaha Portfolio.”
The sale will give relative comfort to some owners of retail parks in the sector that there is a reasonable depth of interest at current pricing levels. Following December’s election, the start of 2020 has seen some impetus return to the retail park market, as investors progress a number of high-profile deals.