Orchard Street acquires Suffolk Retail Park

Orchard Street Investment Management, the specialist commercial property investment manager, has acquired Suffolk Retail Park, Ipswich from clients of Aberdeen Asset Management for £18.75 million, reflecting a net initial yield of 7.1%. The purchase was made on behalf of St James Place Wealth Management.

Suffolk Retail Park is a 96,787 sq ft retail park comprising six units which has Open A1 planning consent that includes the option for food retail on the majority of the site. With a total passing rent of £1,406,824 and an average overall rent of £14.60/sq ft, the park is occupied by a strong line up of retailers including Next, Halfords and Argos.

Barney Rowe, Partner at Orchard Street Investment Management, said:

“Several factors make Suffolk Retail Park an attractive acquisition for our client, one of which is the property’s flexible planning consent in a town where retail park planning consents are typically restrictive. The opportunity this provides was demonstrated by the latest letting at £25/sq ft, versus the low passing rent across the remainder of the park.”

CBRE advised Aberdeen and Morgan Williams advised Orchard Street.