Orchard Street Investment Management has completed the acquisition of Snipe Retail Park in Manchester, in a £61.8 million off-market transaction reflecting a net initial yield of 6.7 per cent.
The specialist commercial property investment manager, which currently has assets valued at £5 billion under its management, acquired the asset from LaSalle Investment Management on behalf of St James’s Place.
Snipe Retail Park is a dominant shopping destination in Ashton-under-Lyme five miles east of Manchester city centre and adjacent to the orbital motorway.
The 242,000 sq ft site has a strong occupier line-up comprising 15 national retailers, including Next, B&Q and Dixon Carphone, with a weighted average unexpired lease term of 6.2 years.
Commenting on the purchase Tom Chadwick, Investment Transactions Manager at Orchard Street, said: “Snipe Retail Park is an excellent addition to our portfolio.
“It benefits from a diverse range of committed tenants attracting a high level of footfall. In addition to the strong income yield we plan to execute a number of asset management strategies to enhance future growth.”
Savills advised Orchard Street while La Salle Investment Management was advised by Wilkinson Williams.
