Propel Morning Briefing Mast Head Propel Hospitaliity website Paul's Twitter Link Subscribe Unsubscribe Web Version Forward Email Star Pubs and Bars Banner Morning Briefing Strap Line
Thu 28th Nov 2013 - Breaking News - C-store and supermarket chains eye Marston's package
NewRiver Retail – strong interest from supermarkets and C-stores for Marston’s pubs: NewRiver Retail has reported strong interest from supermarket and convenience store chains for sites among the 202 pubs it bought today for £90m from Marston’s intending to convert them to alternate use and restaurants. The company said the 202 pubs are spread across the UK but predominately located in residential areas with good roadside visibility and car parking. The acquisition is underpinned through leaseback arrangement with Marston’s for the entire portfolio for a minimum term of up to four years, paying a total annual rent of £12,235,000 and reflecting a net initial yield of 12.8%. Marston’s will continue to manage the portfolio as a going concern until conversion and or sale by NewRiver. The company stated: “The portfolio, with an average gross internal area of 3,150 sq ft, site area of 29,000 sq ft and on-site car parking of 24 spaces, is particularly suitable for convenience store use. The average unit value is £445,000 and the total site area equates 6.5 million sq ft with a total 4,500 car parking spaces. The units were selected by the company following detailed due diligence to identify assets with significant potential for asset management and value enhancement initiatives. The portfolio includes adjacent car parking of 4,500 spaces. Additional uses such as branded restaurants, drive-through food outlets, residential, and medical centres have also been identified. NewRiver believes it will be able to pre-let significant tranches of the portfolio to the major supermarket groups before conversion.” David Lockhart, chief executive of NewRiver Retail Limited, said: “This off market transaction is a highly innovative opportunity for NewRiver to further demonstrate its proven risk-controlled retail development and asset management skills. With increasing demand from all of the major supermarket groups for Convenience Stores substantially outstripping supply, the portfolio provides a very attractive opportunity to generate capital profits through the conversion of the public houses into Convenience Stores underpinned by an attractive cash on equity return from a FTSE 250 company.The acquisition marks a major achievement for NewRiver through the effective deployment of proceeds from the summer capital fundraising and further strengthens our joint venture partnership with BRAVO II.”
Return to Archive Click Here to Return to the Archive Listing
 
Punch Taverns Link
Return to Archive Click Here to Return to the Archive Listing
Propel Premium
 
Propel Quarterly Spring 2018view online
 
BT Banner
 
NT Assure Banner
 
Marstons Banner
 
Ei Group Banner
 
Glycol Cooling Systems Banner
 
Casual Dining Show Banner
 
Wi5 Banner
 
Trail Banner
 
Lamb Weston Banner
 
Catapult Banner
 
Brothers Banner
 
Pago Banner
 
Venners Banner
 
HGEM Banner
 
Zonal Banner
 
Startle Banner
 
COREcruitment Banner
 
Venners Banner
 
liveRES Banner
 
Punch Taverns Link Punch Taverns Link
BT Banner
ALMR Web Link Web Version Unsubscribe Subscribe Propel Info website