Addington, the property asset management and investment company has raised nearly £3.9m from the sale of three prime retail units in the centre of Cardiff.
The shops were part of the Sapphire Portfolio acquired by Addington and EPISO, an opportunity fund advised by Tristan Capital Partners in 2011. The portfolio included Cardiff’s Queens Arcade shopping centre which was also put on the market last October.
Comprising 3 and 4 St John Street and 2-3 Working Street/9 St John Street, all three units are in a busy pedestrianised shopping street close to the entrance to Queens Arcade and St David’s Shopping Centre.
3 St John Street is let to Caffè Nero and was sold to a private investor for £705,000, reflecting a net initial yield of 6.23%. The adjoining 4 St John Street, let to Greggs, was purchased by Evannance Investment Company for £1.08m, a net initial yield of 7.44%. This included three flats above.
Nearby, 2-3 Working Street/9 St John Street was bought by GM2 for £2.1m, providing a net initial yield of 6%. The retail units are let to TSB and Shop Wales.
HRH Retail advised Addington Capital on all three deals. John Arkwright & Co represented the private investor; Calan Retail acted for GM2.
Commenting on the sales, Jeremy Lovell, head of investment at HRH Retail, says: “Cardiff has very few voids and a dearth of smaller stores. By releasing individual smaller stores to market, Addington has given private investors a decent shot at a buoyant retail centre with good rental growth potential.”
