Orchard Street completes Cardiff Bay deal

Orchard Street Investment Management has completed the acquisition of Cardiff Bay Retail Park from Invista Real Estate Management and Schroders for £54.5m.

The deal represents a net initial yield of 6.25 percent on the complex which is located in Europe’s largest waterfront development and home of the Welsh government. The development has a strong range of tenants including Boots, Argos and Bhs and it is part of a substantial retail hub that includes IKEA and Asda.

Gary Felce, Orchard Street chief investment officer, said: “The combination of tenants, a secure income profile and some interesting asset management opportunities make Cardiff Bay Retail Park an excellent investment opportunity…In the past few years the Cardiff Bay area has developed a first class profile with significant residential, commercial, leisure and retailing facilities.”

This latest acquisition concludes an active six-month period during which Orchard Street completed around £400m of investment and asset management activity in the UK. The activity included the acquisitions of three shopping centres with a combined value of about £150m. These were Old George Mall Shopping Centre in Salisbury, Three Spires Shopping Centre in Lichfield and the Market Walk Shopping Centre in Chorley.