Europa Capital and Sovereign Centros have acquired One Stop shopping centre and retail park, Perry Barr from Standard Life Investments. The asset, just over 3 miles from the centre of Birmingham sits on a site of 28 acres was constructed in 1990 and sold to Standard Life on completion. The 380,000 sq ft. asset is 13% vacant by rental value and is Europa Capital’s second joint venture with Sovereign Centros, following the acquisition of 735,000 sq ft. Corby Town Centre from Helical Bar Plc in March 2015. The acquisition price of £69 million reflects an initial yield of 7%. The asset is comprised of two elements, a shopping centre anchored by Asda and a retail park. Key retailers include Marks and Spencer’s, Nike, Argos, Wilko, Boots, New Look, Sports Direct, Arcadia, Home Bargains and Poundland. Rents in the shopping centre range from £30psft ZA – £60psft ZA. and £15psft to £22 psft on the retail park.
Hugo Black, of Europa Capital said, “We are delighted to have completed our second transaction with Sovereign Centros. We believe that Perry Barr offers Europa Fund V the opportunity to continue to enhance leasing performance of the asset and benefit from high cash on cash returns in a sector that is attracting increasing interest from domestic and international institutional investors.”
Chris Geaves, of Sovereign Centros, said “Sovereign Centros and Europa Capital are delighted to have acquired from Standard Life. The asset sits in an interesting area within Birmingham which is planned for significant change. We look forward to taking our plans for the asset forward”.
Europa Capital and Sovereign Centros were represented by Savills and Standard Life Investors by Strutt & Parker.
For further information, please contact:
Gordon Simpson/Elizabeth King, Finsbury: + 44 20 7251 3801
Notes to Editors:
Europa Capital is an established real estate fund management group operating across Europe adding value through risk-based acquisition strategies and active asset management on behalf of its investors.
Since 1995, Europa Capital has collectively raised 9 real estate funds and committed to over 90 transactions totalling some €9.0 billion across 19 European countries.
The Europa Funds benefit from Europa Capital’s established network of partners across Europe who co-invest in acquisitions made by the Europa Funds. These country and joint venture partner relationships in some cases extend back more than 20 years.
Europa Capital is a member of The Rockefeller Group International (“RGI”). RGI is a strategic investor alongside Management. Europa Capital Partners LLP and Europa Capital LLP are authorised and regulated by the Financial Conduct Authority.
Further information can be found at www.europacapital.com.
Sovereign Centros was created by combining two retail and leisure real estate specialists, Sovereign Land and Centros. Growing at a rapid rate, the company is currently managing more than £2 billion of assets and developing more than 4 million sq ft of retail and leisure space.
Founded in 1989, Sovereign Land has enjoyed more than 25 years of success in both direct investment and working in partnership with some of the leading investors in UK property. Sovereign Land built its strong reputation working in partnership with institutional partners, acquiring and managing portfolios and shopping centre and retail warehouse assets.
In 2011, Sovereign Land acquired urban regeneration specialist Centros (founded 1966), which was known for its expertise in investing and developing in UK towns and major cities. Centros had one of the strongest track records in the UK in delivering town and city centre retail-led regeneration, having won numerous awards. Centros worked particularly closely with leading UK institutions, local authorities and retailers to create and enhance both new and existing retail and leisure environments.
Further information can be found at www.sovereigncentros.co.uk