Deals flow for Rockspring
Published: 15 April, 2013
Rockspring funds £12.27m Sainsbury’s supermarket development in Milton Keynes
Rockspring Property Investment Managers is funding the development of a supermarket in Milton Keynes for £12.27m, reflecting a net initial yield of 5.1 per cent, on behalf of a separate account mandate. Frontier Estates is Rockspring’s development partner for the project.
Pre-let to Sainsbury’s on a 25-year lease, the scheme, which is due to be completed in Spring 2014, is located at Shenley Church End in Milton Keynes, and will provide 38,000 sq ft of retail space and 238 car parking spaces. Construction is due to commence on the site imminently.
Phil Sturdy, Rockspring European director, said: “The development of the site at Shenley Church End is in line with our strategy of creating value through funding developments at a discount to standing investments. Once developed, the supermarket will provide a 25 year indexed income stream from Sainsbury’s.”
Rockspring was advised by Douglas Stevens. Frontier Estates was advised by Warneford.