Lionbrook Property Partnership has paid£25.1 million for the 127,000 sq ft (11,800 sq m) Reading Retail Park in Reading. The property was put on the market by the Junction Limited Partnership as part of its strategy to concentrate on larger properties.
The Berkshire park comprises five retail units, let to MFI, Carpetright, Halfords, Currys and Focus, as well as a Pizza Hut restaurant. It provides an annual rent roll of£1.8 million to show a net initial yield of 6.6 per cent. With key rent reviews due in September next year, the reversionary yield is 7.4 per cent.
Simon Latham of ING Real Estate Investment Management, manager of the Lionbrook fund, said: 'While the town is well supplied with out-of-town retail accommodation, the park is the only one that serves the west side of Reading and is therefore well situated to capitalise on strong consumer demand.'
ING REIM, acting on behalf of Lionbrook, was advised by Strutt & Parker.
CB Richard Ellis represented the Junction Limited Partnership.
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