News

DTZ Investors has acquired a prime London retail park for £37,000,000.  

The property is one of few remaining inner-London retail parks, situated in Zone 2 just over a mile from the City of London.  The site occupies 3.2 acres and comprises three retail warehouse units totalling 45,385 sq ft of lettable area alongside a residential block of 11 houses.  The retail is fully-let to Asda, Halfords and Currys with all leases expiring in 2025.  Renewal prospects are strong with attractive market dynamics showing reversionary rents, a depth of occupier demand and limited direct competition.  The residential houses are let as HMOs with the rents at an affordable level indicating headroom for growth over time.  In addition, the site has just 35% single-storey site cover with offers exceptional alternative use potential.  This East London location continues to see significant regeneration with the land underpinned today by robust residual values for a high-density living sector development.

HampsonWall acted for DTZ Investors whilst Savills acted for Lothbury, the vendor.

Ben Haller, Director at DTZ Investors:  “Anchor Retail Park is a great strategic fit so we are delighted with this deal to close the year.  It’s rare to find underdeveloped plots in London capable of delivering attractive income returns alongside scope for significant capital enhancement.  The optionality to pivot the site between existing use and alternative use is particularly appealing.  The asset adds further quality to the fund’s retail warehouse weighting following numerous other acquisitions in recent years and with appetite for more.”

Chris Hampson, Partner at HampsonWall: “Congratulations to DTZ Investors for the acquisition of this prime mixed-use asset within walking distance to the City of London.  The manifold strengths of this asset were illustrated by a particularly competitive marketing campaign, which we are delighted to have supported DTZ Investors navigate it successfully.