Rockspring completes on acquisition of Shrewsbury office asset

Investment managers announce completion on £20m of transactions in Shrewsbury, Leeds and Chippenham

Article posted: 27 May 2011

On behalf of its Retail Plus Fund, Rockspring Property Investment Managers has completed around £20m of transactions, including the acquisition of an office-led scheme in Shropshire.

Kirkgate Retail Parade in Leeds and Princess House in Shrewsbury have been purchased for a combined consideration of £17.8m, while it has sold 1/1a High Street, Chippenham for £1.73m.

Princess House comprises 50,800 sq ft of predominantly office space in Shrewsbury town centre and given that the apportioned purchase price was £8m plus costs (total £9.6m), the sale price represents a significant return on the original investment and a net initial yield of 7.2%.

Built in the 1970s, Princess House was refurbished in 1997 and occupies a prominent corner position in the town centre. It is currently occupied by HSBC and Starbucks. The asset was acquired together with offices in Glasgow by NewRiver Retail in March 2010 as part of the UBS Triton Property Fund acquisition in collaboration with NewRiver’s Joint Venture partner Morgan Stanley Real Estate Investing.

Kirkgate retail parade in Leeds was bought from PRUPIM for £8.2 million, reflecting a net initial yield of 7.5%, while a private family trust paid for £1.73m for the Chippenham retail unit which is let to Superdrug.

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Posted by Janet