InfraRed has confirmed its acquisition of the Castle Mall shopping centre in Norwich from The Mall Fund for £77.3m – a 7.8% initial yield.
The Castle Mall comprises more than 330,000 sq ft spanning 80 shops. Tenants include TK Maxx, New Look, Boots and Argos as well as an eight-screen Vue cinema.
InfraRed has appointed the Hark Group as asset managers and Munroe K Asset Management as property managers.
InfraRed re-entered the UK shopping centre market in 2011 after five years’ absence, acquiring The Galleries in Bristol and the St Johns centre in Liverpool from Land Securities.
Chris Huxtable, director at InfraRed, said: “This time, we have directed our investment into the top-tier retailing cities and into large centres that are characterised by high footfall, affordable rents and strong retailer performance. This segment of the retail market has proved resilient in the current economic climate. We plan to add considerable value to the centres through additional investment.”
DTZ acted for InfraRed.CBRE advised the Mall Fund.
Annabel.Dixon@estatesgazette.com
