Hammerson has confirmed the sale of its portfolio of seven retail park assets to Brookfield for £330m cash proceeds, concluding Hammerson’s exit from the UK retail parks sector.
The final amount marked an 8% discount to the 31 December 2020 book value of £357m.
The portfolio comprises 205,000m² of space across: Central Retail Park (Falkirk); Cleveland Retail Park (Middlesbrough); Cyfarthfa Retail Park (Merthyr Tydfil); Elliott’s Field Shopping Park (Rugby); Telford Forge Shopping Park (Telford); Ravenhead Retail Park (St Helens); The Orchard Centre (Didcot).
In addition, Hammerson recently disposed of its Brent South Shopping Park, as well as minority interests in Nicetoile and Espace Saint Quentin for £73m. This latest transaction now takes the total gross proceeds of Hammerson’s disposals in 2021 to £403m.
According to Hammerson, funds from these disposals will “further strengthen” its balance sheet, reducing net debt, which was £2.2bn at 31 December 2020, and increasing liquidity, which stood at £1.7bn at the same date.
Rita-Rose Gagné, CEO of Hammerson, said: “As highlighted at the full year results, our immediate priority is to strengthen the balance sheet. This latest disposal is a positive step. Alongside this, we continue to focus on delivering operationally.
“We have successfully welcomed back our customers in England to our flagship venues, with footfall levels well above the June 2020 reopening, and look forward to reopening our other destinations as local restrictions allow over the coming months.”