LGP acquires Dolphin Centre in Poole from Wereldhave.
12 February 2013
Legal & General Property (LGP) announces that, on behalf of its Managed Fund, it has exchanged contracts to purchase the Dolphin Centre in Poole, Dorset, from Wereldhave for £57.7 million, reflecting a net initial yield of 7.81%.
The shopping centre asset comprises 430,000 sq ft of covered retail space, arranged over three levels, together with open streetscape areas. The scheme is anchored by Marks & Spencer, Primark, Boots, BHS and Beale Department store, and contains a total of 119 retail and leisure units.
With a prominent central location, situated immediately adjacent to the bus and railway stations as well as linking directly to the town’s three main car parks, the Dolphin Centre dominates Poole’s retail offer, providing over 60% of the retail space. Poole has an extensive catchment area, which is further boosted by its large tourist draw, and the scheme benefits from an annual footfall in excess of 11 million.
Mark Russell, Fund Manager to the Managed Fund at Legal & General Property, commented: “The quality of income currently enjoyed by the Fund affords an opportunity to move up the risk curve on a selective basis where we feel that value exists for secondary assets which are capable of being repositioned. The Dolphin Centre offers a resilient income return, supported by a diverse tenant base and affordable rents. There exist a number of options to increase dwell time and enhance the tenant mix, with numerous retailers not currently represented in the town.”
John Laker, Managing Director of Wereldhave UK, added: “The sale of the Dolphin Centre, Poole, is in-line with our plans to consolidate our place as a leading shopping centre investor in Europe and we look forward to exploring new opportunities."
Briant Champion Long represented Legal & General Property and Cushman & Wakefield acted for Wereldhave.
Notes to editors
Legal & General Property (LGP) is a wholly-owned subsidiary of Legal & General Investment Management (LGIM), one of Europe’s largest institutional asset managers and a major global investor. LGIM manages approximately £391bn of assets on behalf of more than 3,300 clients (30 September 2012) and provides products and solutions spanning all asset classes. LGP is the third largest institutional property fund manager in the UK, managing or co-managing 16 separate funds or vehicles and two segregated mandates with an aggregate asset value of £10.4bn as at 30 September 2012.
These funds include:
Specialist Pooled Funds
The Leisure Fund Limited Partnership; Industrial Property Investment Fund; Arlington Business Parks Partnership; and the English Cities Fund
Single Asset Vehicles
Bracknell Regeneration Partnership; Central Saint Giles Partnership; Performance Retail Limited Partnership and Warrington Retail Limited Partnership
Life Fund; Linked Pensions; Linked Life; Managed Fund; Property Unit Trust; UK Property Income Fund; LPI Income Property Fund and the Hybrid Property Fund
LGP’s UK-focused fund management platform has built and retained a strong track record of out-performance across the sector. Owing to its size, diversity and penetration, it benefits from best in class banking and property industry contacts which, along with its wealth of in-house skill and expertise, have enabled it to continue to attract and secure high quality market opportunities. Taking a client-centric approach, the business places the highest priority upon integrity and transparency, leveraging upon the significant resources provided by the wider LGIM platform. Sector specialists cover each sphere of the market and are supported by LGP’s market-leading research capability.
LGP’s sector specialisms cross all facets of the real estate market. In particular, the Company has a major development platform, responsible for delivering West End landmark building, Central Saint Giles, and Agar Street, its high profile Covent Garden office scheme, amongst others, and is currently involved in bringing forward a number of significant town-centre retail and leisure regeneration projects, including Bracknell, Trowbridge, Milton Keynes, Northampton, Hounslow and Eastbourne.
For more information please contact:
PR Manager, Legal & General Capital and Real Assets, LGIM (Property, infrastructure and alternative finance)
t: + 44 (0) 203 124 2777
m: + 44 (0) 7718 395 279
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