Hunts Cross Retail Park sold

Henderson's UK Property Fund has sold the 70,000 sq ft retail park in Liverpool to DTZ IM for £8.5m, representing a 6.9% initial yield.

Tenants at Hunts Cross Retail Park include Next Clearance, Poundstretcher, JJB Sports and Matalan with one vacant unit.

Henderson was advised by CBRE and DTZ IM was advised by David Baroukh Associates in the deal.

Meanwhile, Henderson's UK Property Fund has acquired the 28,000 sq ft Dunelm Mill retail warehouse unit in Birmingham from Mayfair Capital for £4m.

Henderson was advised by Gerald Eve and Mayfair Capital was advised by Edgeley Simpson Howe in the acquisition and Dunelm Mill remains on a 7.5 years lease.

Cameron Fraser, fund manager for Henderson's UK Property Fund, said: "We have exited what we believe to be an ex-growth asset and entered into an asset with strong income potential, which will be crucial for performance over the next 24 months.

"We have significantly increased covenant strength with exposure to Dunelm Mill who hold a 5A1 covenant and have removed any tenant risk exposure in the process.

"The choice of asset reflects Henderson's current views on the UK market for which it is forecasting strong performance across the retail warehouse market. This sector has a positive rental story, and coupled with Henderson's proven expertise and quality asset management will continue to benefit from longer-term healthy investor market interest."

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