One of Telford’s biggest retail parks has been bought out as part of a £254.5million deal with the owner of Birmingham’s Bullring centre, it was announced today.
Investment giant Hammerson, which also owns London’s Brent Cross Shopping Centre, has added the Forge Retail Park to its portfolio after it bought the park’s existing owner, The Junction Unit Trust.
Home to some of Britain’s biggest retailers including Sainsbury’s, Boots, Next and Currys, the retail park was one of four to be included in the deal, along with other parks in Glasgow, Bristol, and Thurrock in Essex.
Hammerson chief executive David Atkins said: “Following our investments in Value Retail, Victoria Quarter and the Whitgift Centre, this acquisition is another demonstration of Hammerson deploying capital into one of our three defined areas of retail focus.
“There is continued strong consumer demand for the ease and convenience of retail parks, and that consumer demand is being reflected in the increasing requirements of a range of fashion and catering retailers for space in retail parks.
“This portfolio acquisition on attractive terms enhances our income profile and will be actively managed to grow rents and capitalise on development opportunities, maximising returns for shareholders.”
The Forge Shopping Park draws in rent for its owners of £5 million a year from its 20 tenants at present, and includes 29,000 sq m of floor space and more than 1,300 car parking spaces.
In total, Hammerson’s acquisitions are expected to draw in more than £18 million a year, increasing to £20 million in the next five years.
Other retailers on the Forge, which lies off Colliers Way close to Telford town centre, include a Dunelm, McDonald’s Toys R Us, SCS, Laura Ashley, Petstop, Carphone Warehouse, and Frankie & Benny’s.