Londonmetric Property acquires Ipswich retail park

LondonMetric Property, a UK real estate investment trust, has acquired the Martlesham Heath Retail Park in Ipswich, which comprises 47,850 square foot across six units.

The £10.35m acquisition, purchased was funded from exisiting resources, reflected a net initial yield of 6.5%.

There is a 5,000 square foot vacant unit where letting negotiations are at an advanced stage, the group said. Once let, the yield will rise to 7.4%.

The group recently agreed a letting with Marks & Spencer (M&S), which the centre is based around.

Separately, at its shopping park development in St Austell, Cornwall, LondonMetric has exchanged terms with M&S for a new 50,000 sq ft full-line general merchandise store incorporating Simply Food.

Andrew Jones, Chief Executive of LondonMetric, said: "Our acquisition at Ipswich provides an opportunity to leverage on the recent letting to M&S and gives us a platform to materially improve the tenant mix, grow income and increase the rental tone.

"Our St Austell development now benefits from two strong pre-lettings to both Sainsbury's and M&S, and we remain confident of bringing more new retailers to St Austell."

The share price climbed 0.34% to 116.40p on Tuesday morning.

NR