Futura park, Crane Blvd, Ipswich IP3 9SQ
Greenridge Investment Management is pleased to announce the acquisition of the Waitrose & John Lewis at Home property on Futura Park, Ipswich. The acquisition was completed at a price £21.9 million, reflecting a net initial yield (NIY) of 8.05%. This strategic purchase marks the third acquisition for Greenridge’s GO Fund.
The prime East Anglian property was acquired from an institutional fund client of Cushman & Wakefield, who represented the vendor, with KLM Real Estate acting for Greenridge. Developed in 2012, the property comprises a high-quality, purpose-built, standalone retail warehouse totalling approximately 71,235 sq ft. The unit is occupied by John Lewis Properties Plc on a long lease until November 2037 and benefits from 5 yearly fixed rental uplifts.
Investment Highlights:
Greenridge Investment Management sees this acquisition as a further opportunity to meet the GO Fund’s income and capital return parameters, driven by several factors:
Prime Location: The property is situated in Futura Park, Ipswich’s leading out-of-town retail destination, which encompasses around 30% of the town’s retail warehousing.
Strong Tenant Covenant: Fully-let to a major corporate tenant, John Lewis Properties Plc, trading as Waitrose and John Lewis at Home, ensuring a reliable income stream.
Guaranteed Rental Uplifts: The property benefits from 5-yearly fixed rental uplifts at 3% per annum compound, with the next review scheduled for November 2027.
Modern Facilities: The property comprises a purpose-built, modern foodstore and retail warehouse extending to a total of 71,235 sq ft (GIA) with approximately 14.1 years remaining on the lease. There is an excellent parking provision with 409 spaces (1:174 sq ft) adjacent to the stores.
Sustainability: The store boasts excellent ESG credentials and an EPC B rating.
“We are thrilled to add this high-quality, well-located asset to our portfolio. The long lease term, fixed rental increases, and strong tenant covenant provide a strong platform for growth whilst also providing diversification benefits within the Fund,” said Alex Walker, Partner of Greenridge.
“This acquisition further strengthens the Greenridge GO Fund’s portfolio, providing stable income and significant growth potential. We look forward to continuing our success with similar strategic investments,” added Bik Bhuptani, Co-Founder of Greenridge.