LondonMetric JV sells three UK retail parks

LondonMetric Property’s joint venture with Universities Superannuation Scheme, Metric Income Plus Limited Partnership, has sold its retail parks at Camborne, Haverhill and Bristol for £29.5m, reflecting a blended net initial yield of 5.8%.

LondonMetric’s share comes to £14.7m.

The Bristol retail park was sold to CBRE Global Investors for £12.6m, reflecting a net initial yield of 5.4%, while the Camborne retail park was sold to a private investor for £9.9m, reflecting a NIY of 6.1%.

The Cambridge Road asset was sold to a UK pension fund for £7m, also reflecting a NIY of 6.1%.

All three retail parks were bought in 2012 and the company said the sales crystalise a profit on cost of 25%.

The sales bring LondonMetric’s retail disposals for the financial year to over £130m.

Chief executive Andrew Jones said: “These three assets have benefited from yield compression of 200 basis points since their acquisitions in 2012 and, following recent lettings and rent reviews, have now delivered on their business plans.

“We will continue to sell down our mature assets and recycle into more accretive growth opportunities in the distribution sector and through our development pipeline.”

At 0815 GMT, LondonMetric shares were up 0.5% to 159p.