Local Retail Fund has sold the Bell Quadrant Shopping Centre in Carfin, Scotland, for £3.35m, following completion of an asset management programme that has added significant value to the neighbourhood scheme.
Local Retail originally bought the 11-unit parade in October 2013 for £1.84m in an off-market deal that reflected a net initial yield of 10.75%. A vacant 5,000 sq ft store was sub-divided into three units which were subsequently let to Subway, Barnardo’s and a fish and chip operator. They joined existing tenants that include Tesco’s, Greggs and Done Bros.
The sale, just over two years later, at a yield of 7.9%, is to Clydebuilt, a joint venture between Ediston Real Estate and Strathclyde Pension Fund. The property was acquired for the Clydebuilt fund, set up to invest in assets of under £10m across the former Strathclyde region.
Kirstyn Rutter of Waypoint, who advised Local Retail, said the asset management plan had now been fully implemented. All outstanding rent reviews had been completed, with a current contracted rent of £280,895 against £209,000 in October 2013.
Investment agent Hood Harrison acted for Local Retail Fund.