Time to sell that retail warehouse? – Savills
Citing its recent research into the retail warehouse market, Savills says it may be a good time for owners of retail warehouse properties to consider making some selective sales, as investor demand is strong – not just for prime properties, but also for secondary assets that are correctly priced.
Savills says retail warehouses are still producing above-average returns. Investment director Jaime Dunster says this has led to renewed interest in this type of asset from all kinds of investors but particularly UK-based institutions.
“These purchasers are primarily focused on prime assets that have long lease lengths, covenant strength and dominance of catchment. However, with such a tight definition on what makes a retail warehouse asset prime, it is unsurprising to note that the availability of such stock is extremely limited,” Dunster added.
