Crosstree Real Estate Partners is buying the Edmonton Green shopping centre in north London for 拢72.0m (鈧�81.5m) from St. Modwen Properties.
London-listed St Modwen said it has agreed to sell its long leasehold interest in the 495,000sqft shopping centre to Edmonton Green Limited, an affiliate of Crosstree.
St Modwen said the 拢72.0m disposal price represents a small premium to the 拢70.2m book value of the asset as at November last year. The shopping centre is currently 96% let to more than 160 tenants.
In addition, St. Modwen has completed the sale of two smaller retail assets in Liverpool and Cannock in two separate transactions for 拢9.9m in total.
Rupert Wood, a property asset management director at St Modwen, said: 鈥淭hese disposals are in line with our strategic objective to refocus our portfolio towards assets with strong structural growth characteristics.鈥�
Wood said since the start of this year the company has sold 拢177m of retail assets, on average less than 1% below book value, representing more than half of its overall retail portfolio.
鈥淐ombined with the disposal of 拢49m of small assets in the year to date, this means we have comfortably exceeded our increased target to sell 拢150-175m of retail and small assets for the full year.
鈥淲hilst these disposals will reduce our rental income in the near term, recycling the proceeds into our much higher yielding industrial/logistics pipeline is expected to deliver a marked increase in income over time.鈥�
