£54m Deal Strengthens Balance Sheet Amid Challenging Market
- Hammerson sells St Oswald’s Retail Park for £54m
- Total disposals reach £577m in 2019
- Sale reflects a net initial yield of 8.5%
- Disposal target exceeded by over £77m
- Flagship tenants include Homesense, B&Q and Wren Kitchens
Hammerson has sold the St Oswald’s Retail Park in Gloucester for £54m, bringing its total disposals this year to £577m. The property includes a range of bulky goods, retail and leisure space and is home to tenants such as Homesense, B&Q, and Wren Kitchens. The sale price reflects a net initial yield of 8.5%, which is 8% below the 30 June 2019 book value. Hammerson originally developed the site in 2005 and has since increased the number of units to improve the brand mix. This transaction surpasses the company’s minimum disposal target of £500m for the financial year, which included the sale of a major stake in its Italie Deux flagship destination in Paris for £423m announced in July. Hammerson CEO David Atkins said: ‘Despite a challenging investment market, we are successfully executing disposals to reduce debt and strengthen our balance sheet, allowing us to capitalize on opportunities like the City Quarters pipeline.’
Factuality Level: 10
Factuality Justification: The article provides accurate information about Hammerson’s sale of St Oswald’s Retail Park, its sale price, and how it contributes to their disposal target for the year. It also includes a quote from the CEO that supports the company’s strategy.
Noise Level: 3
Noise Justification: The article provides relevant information about a specific real estate transaction and company performance, but it lacks in-depth analysis or exploration of broader trends or consequences.
Financial Relevance: Yes
Financial Markets Impacted: Hammerson’s disposals impact its financial position and debt reduction strategy
Financial Rating Justification: The article discusses Hammerson’s sale of a retail park and its impact on the company’s financial targets, indicating relevance to financial topics and potential market implications.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: No extreme event mentioned in the article
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