Inside Cardiff's Morgan Arcade
Helical plc, one of the UK's leading property companies, has sold The Morgan Quarter in Cardiff to LaSalle Investment Management for £55m.
The sale price is in line with Helical's March 2016 book value and reflects a net initial yield of 5.9% and a reversionary yield of 6.9%.
Helical acquired the former David Morgan Department Store and two Victorian arcades in 2005.
Since then it has undertaken a substantial value enhancing refurbishment programme, delivering more than 300,000 sq ft of high-quality, award-winning, retail and office space.
It now counts a number of established retailers and local businesses as tenants including White Stuff, Jack Wills, Urban Outfitters and Molton Brown.
Duncan Walker, investment director at Helical, said: "This significant sale, at an attractive yield, represents the eighth retail asset we have sold since March 2016.
“In line with our continued repositioning of the portfolio through value-enhancing disposals, our retail investments now comprise just a small number of retail warehouses.
“Our intention is to recycle the majority of the proceeds of this disposal into our London portfolio."
Helical was advised by JLL; the purchaser by Savills.
BQ’s commercial property updates are supported by specialist lender Together, which provides funding to businesses and property investors nationwide. With over forty years’ experience in the financial services industry, Together offers short-term finance, auction finance, buy-to-let, residential and commercial mortgages and secured loans.
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