Hines has expanded its UK retail park portfolio with the acquisition of three fully leased assets totalling circa 438,000 sq ft in Greater London, Manchester and Edinburgh for an undisclosed price.
The assets comprise the 139,000 sq ft Nugent Shopping Park in Orpington, which is anchored by a full-line Marks & Spencer store, the 228,000 sq ft Altrincham Retail Park, which is occupied by retailers including Lidl, Boots, B&Q, Currys, B&M, Pets at Home and TK Maxx, and the 71,000 sq ft Straiton Retail Park, anchored by Home Bargains, The Food Warehouse and Dunelm.
The assets were acquired on behalf of the Hines European Core Fund (HECF).
Alfonso Munk, global co-head of investment management at Hines, said: “We see UK retail parks as an increasingly compelling part of a diversified core portfolio. Limited new supply, strong retailer demand, and attractive income characteristics create a combination that has been difficult to replicate elsewhere in the retail market. These acquisitions allow us to build meaningful exposure in three of the UK’s strongest metropolitan markets.”
Ross Blair, head of Western Europe at Hines, added: “These acquisitions demonstrate the strength of our local sourcing capabilities and our focus on creating value through active management. Success comes down to picking the right assets and executing well. We believe these retail parks combine strong fundamentals with clear opportunities to create value over time.”
