CBRE Global Investors has bucked industry consensus about retail real estate by purchasing Bell Green Retail Park in South London from Kier Property for an undisclosed sum.
CBRE GI fancies the property - which totals 42,282 m2 - as a canny investment thanks to its tenants, which include Next, Currys/PC World, B&Q, McDonald’s and Halfords, among others. These companies are performing strongly, which CBRE calculates outweighs the gloom hanging over the retail asset class due to the challenge online shopping poses to bricks-and-mortar stores.
Russell Taylor, fund manager for CBRE's West Midlands pension fund, said: ‘This retail park stands out as a quality-buy due to the strength of the tenants and their trading performance. There is a reduced retail supply in Greater London and a growing population, which makes this an attractive proposition long-term.
He said: ‘Our client’s strategy is to opportunistically increase their exposure to commercial real estate and this property provides them with a prime asset acquired at a sensible price.’