Redevco has completed the acquisition of a portfolio of 16 UK retail parks from Oxford Properties for £518m.
The circa 2.1m sq ft portfolio was assembled by Oxford Properties via the M7 Real Estate specialist platform it acquired in 2021.
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.”
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 by Glenlyon Real Estate with strategic investment and asset management advice provided by Staunton Whiteman, CSP and McMullen Real Estate. CMS provided legal support. Oxford Properties and M7 Real Estate were advised by Savills.
