SREF completes £17 million Quadrant Park sale
Schroder UK Real Estate Fund (‘SREF’) has completed the sale of Quadrant Park, a prominent industrial estate in Welwyn Garden City, Hertfordshire, to Royal London Mutual Insurance Society Ltd the largest mutual life, pensions and investment company in the UK (‘Royal London’) for £16.8 million, equating to a 4.95% net initial yield.
Schroder UK Real Estate Fund ('SREF') has completed the sale of Quadrant Park, a prominent
industrial estate in Welwyn Garden City, Hertfordshire, to Royal London Mutual Insurance
Society Ltd the largest mutual life, pensions and investment company in the UK ('Royal
London') for £16.8 million, equating to a 4.95% net initial yield.
The estate, which was built in 2006, comprises 116,000 sq ft of high quality warehouse space,
situated within close proximity to Welwyn Garden City station and transport connections to
SREF acquired Quadrant Park in 2010 with a strategy to reduce the vacancy rate from 50% and
increase rents against the backdrop of an expected improvement in the occupational market.
This strategy has been successfully executed and the property is now fully let at an average
rent of £7.50 per square foot. Since inception the asset has provided a total return of 15.32%
Commenting on the sale, James Lass, Fund Manager at SREF, said:
"The total return from the asset has significantly outperformed the IPD Industrial South East
index. The timing of the sale is in line with our strategy to crystallise strong performance and
reinvest proceeds to generate higher returns".
Knight Frank acted for SREF and JLL acted for Royal London Mutual Insurance Society
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The Schroder UK Real Estate Fund (“SREF”), previously known as Schroder UK Property Fund (SPF), is Schroders’ flagship real estate fund launched in 1971, which is currently valued at £1.8 billion (at 31 December 2014). A property authorised investment fund, it offers diversified exposure to UK commercial property. Managed by a team of market-leading professionals, SREF is growing year-onyear both through value enhancement and new strategic acquisitions.
Schroder Real Estate
Schroders has managed real estate funds since 1971 and currently has £12.1billioni (€17.1 billion /US$19.1 billion) of gross real estate assets under management as at 30 June 2015.
Most of the property funds referred to are unauthorised collective investment schemes as defined in the Financial Services and Markets Act 2000. Promotion of these funds is restricted and access to full information about these funds is only available to those exempt from the restriction.
For further information about Schroders’ property business visit http://www.schroders.com/en/uk/realestate/
For trade press only.To view the latest press releases from Schroders visit: http://ir.schroders.com/media
Schroders is a global asset management company £309.9 billion (EUR 437.4 billion/$487.4 billion) under management as at 30 June 2015. Our clients are major financial institutions including pension funds, banks and insurance companies, local and public authorities, governments, charities, high net worth individuals and retail investors.
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