Press releases
Land Securities confirms the sale of the Stratford Centre to the Catalyst European Property Fund for £91.5M
31 August 2010Land Securities announced today that it has exchanged contracts for the sale of the Stratford shopping centre, 44 Broadway and Morgan House to the Catalyst European Property Fund LP for £91.55m. The price represents a net initial yield to the purchaser of 7.25% for the shopping centre and 44 Broadway properties which are both fully let.
Located on Broadway in Stratford town centre, opposite the new Olympic park, the 320,000 sq ft shopping centre is fully let to some 60 retailers including Boots, Sainsbury’s and New Look. Due to its town centre location and direct connections with the bus and underground stations in Stratford, the centre benefits from a high footfall of an estimated 21,000,000 per annum. The disposal also includes Morgan House, an adjoining 113,000 sqft vacant office building and future development site, at a price of £5 million.
Gary Sherwin, Head of Retail Investment for Land Securities, commented on the sale, “We are pleased with the sale which has benefited from the limited amount of stock currently available in the investment market. The funds from the sale will be channelled into other activities including more immediate development opportunities previously outlined by the Group.”
Peter Kasch of Catalyst Capital, Managers of the Catalyst European Property Fund added, “The Stratford Centre fits within our fund requirements and is one of the best value retail investment opportunities we have seen this year. As well as a strong tenant line up, the centre also has excellent development opportunities which will allow us to utilise our asset management and development expertise.”
JLL acted for Land Securities and Lunson Mitchenall for the purchasers. Finance will be provided by pbb Deutsche Pfandbriefbank.
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For further information, please contact:
Melissa Winsor
Land Securities Group PLC
T +44 (0)20 7024 5079
Edwina Watson
Catalyst Capital LLP
T +44 (0)20 7290 5100
Notes to Editors
About Catalyst Capital
Headquartered in London with offices in Paris, Frankfurt, Milan and Warsaw, Catalyst Capital purchases, develops and manages a significant portfolio of retail, office and industrial real estate, based upon opportunistic or value-added strategies.
In its 14 year history it has acquired, in partnership with institutional and private investors, a commercial real estate portfolio, comprising both individual assets and portfolios, totalling over €4.1 billion. Catalyst Capital focuses its real estate activities in the UK, France, Germany and Italy, with growing interests in the Benelux and the major emerging markets of central Europe.
The firm advises its targeted Funds on their European investment into commercial real estate, and exclusively provides them with asset management and development services. These include the Catalyst European Property Fund, the WCC Europe Fund and various specific joint ventures. A separate team provides services to the Catalyst Samsara India Opportunity Fund, which is also advised by its joint venture partner, Samsara Capital in Mumbai.
About pbb Deutsche Pfandbriefbank
pbb Deutsche Pfandbriefbank is the strategic core bank of HRE Group. The bank combines the Group's strategic assets and generates new business in its real estate finance and public finance segments. Its core funding vehicle is the Pfandbrief. pbb Deutsche Pfandbriefbank was formed in June 2009, as a result of the merger of DEPFA Deutsche Pfandbriefbank and Hypo Real Estate Bank. The company’s registered office is Munich, Germany
