February 29, 2016
Palmer Capital’s recently open ended Palmer Capital Income Fund has concluded its first acquisition since open ending last month with a forward purchase of Opus North’s Armley Retail Park with a value of £8M.
Opus North, a leading Yorkshire-based property development and investment company, a Palmer Capital backed company, has sold its latest retail park at Armley in Leeds for £8 million.
Opus North is transforming the derelict four-acre site in Armley into a brand-new retail destination, comprising Lidl, B&M Homestore and Farmfoods.
The company has sold the leasehold of the 20,000 sq. ft. Lidl superstore to Lidl, while the Palmer Capital Income Fund has bought the remainder of the site, with tenants B&M Homestore and Farmfoods on 15-year leases.
Last year Leeds planners gave the green light to develop the site, which was previously occupied by DENSO Marston, the thermal cooling systems manufacturer. Construction of the retail park has now started. It is scheduled to open in March next year. The main contractors are Shipley-based Stainforth Construction.
The park is already fully let, with B&M Homestore occupying 22,000 sq. ft. and Farmfoods 10,000 sq. ft. within the scheme. The development will regenerate the site, which had become an eyesore, and create more than 100 jobs. The Denso Marston factory, which is on one of the main roads through Armley, has been empty for a number of years since the company moved to new premises in Shipley.
Andrew Duncan, the managing director of Yorkshire-based Opus North commented: “This was an excellent deal for all concerned. We are very proud of transforming a derelict eyesore in a prominent area of west Leeds into a first-class retail park, with household names as occupiers.
The decision of high-profile retailers like Lidl, B&M and Farmfoods to move to our new retail park was a resounding endorsement of the development and popularity is reflected in the combined price we have achieved from the sales to Lidl and The Palmer Capital Income Fund. Our sizable investment in Armley is bringing more choice to shoppers and providing a major boost to the local economy,” added Mr Duncan.
Rupert Sheldon, Fund manager of the Palmer Capital Income Fund commented: “We are delighted to have secured this prominent new investment opportunity providing a long dated and secure income. Our relationship with Opus North enabled us to secure this opportunity and plays nicely to the Fund’s USP’s of working with our local partners to gain an edge over the wider market.”
Fox Lloyd Jones advised Denso Marston and Rees Denton and Savills advised Opus North on the lettings on site.
For further information, please contact Robert Beaumont of Robert Beaumont Associates on 01423 323139