Metric Income Plus Limited Partnership (MIPP), the GBP150 million joint venture between Metric Property Investments and Universities Superannuation Scheme (USS), has acquired Longwell Green, Bristol for a total consideration of GBP7.8 million, from Cordatus Partners on behalf of the receivers to Castlemore Securities.

 
The retail park is located opposite Gallagher Shopping Park and comprises 20,400 sq ft of Open A1 (non-food) consent across two units. MIPP has simultaneously exchanged leases with DFS and Carpetright across the entire accommodation generating a yield on cost of over 7.5%.
 
DFS has signed a new 20-year lease over 14,300 sq ft at a rental of GBP429,000 per annum with annual RPI rent reviews. Carpetright has signed a new 15-year lease over 6,100 sq ft at a rental of GBP183,000 per annum. The Joint Venture has also submitted a planning application for new 2,500 sq ft pod which will increase the yield on cost to over 8% once constructed and let.
 
MIPP has invested GBP33.9 million (net of acquisition costs) to date in a total of four schemes. Rents average GBP16.30 psf with an average unexpired lease term of 17.6 years. The portfolio benefits from RPI/fixed uplift across 62% of its income.
 
Valentine Beresford (pictured), Investment Director, Metric, says: “Longwell Green represents another off-market acquisition for MIPP and further extends Metric’s reach in Bristol, a strong institutional town. The new leases to DFS and Carpetright will generate an attractive yield on cost for MIPP of over 8% once the additional pod units in the car park have been constructed.”
 
Harvey Spack Field advised MIPP and Edgerley Simpson Howe advised Cordatus Partners.