Post on 08-Feb-2018
National Investment
UK PORTFOLIO MARKET REVIEW
2015
UK PORTFOLIO MARKET REVIEW
12%
6% 18%
64bp
Total UK MARKET Transactions Total UK PORTFOLIO Transactions
Average Portfolio Size Portfolio Average Weighted Yield
2015
£86.52m2015
6.78%
2015
£54.85bnTransacted in 2,281 deals
2014
£58.60bnTransacted in 2,644 deals
2014
£13.14bnTransacted in 170 deals
2015
£10.82bnTransacted in 134 deals
QUARTERLY PORTFOLIOS SALES ANALYSIS
Q1 Q2 Q3 Q4
Total Transactions £5.18 bn
£2.37 bn
£1.40 bn
£1.87 bn
Number of Deals 40 34 27 33
Average Lot Size £133 m
£76 m
£54 m
£64 m
nOverseas Investors
nUK Institution
nUK Property Company
nPrivate Investors
nFinancial/Banks
nOverseas Investors
nUK Institution
nUK Property Company
nPrivate Investors
nFinancial/Banks
PORTFOLIO SELLER ANALYSIS
2014
30%
16%35%
6%
13%
201550%
12%
25%
10%3%
Overseas Investors20
%
UK Property Companies10%
2015
nOverseas Investors
nPrivate Investors
nUK Institution
nUK Property Company
nOverseas Investors
nPrivate Investors
nUK Institution
nUK Property Company
PORTFOLIO PURCHASER ANALYSIS
2014 53%
23%
3%
21%
201559%
20%
1%
20%
Overseas Investors6%
UK Institutions3%
2015
PORTFOLIO SECTOR ANALYSIS
Ret
ail/
War
eho
use
12
%
Leis
ure
13
%
Ind
ustr
ial
14
%
Oth
er1
6%
Mix
ed P
ort
folio
s4
0%
Offi
ce5%
Ret
ail/
War
eho
use
16
%
Leis
ure
21
%
Ind
ustr
ial
11
%
Oth
er2
6%
Mix
ed P
ort
folio
s2
0%
Offi
ce6
%
2014 2015
??%
Mixed Portfolios20%
As the UK commercial market continues to recover …the weird and wonderful portfolio names get better!
UK Portfolio Market Review
DEC
PEARL PORTFOLIOCapital Value: £165m Net Initial Yield: 5.9%
Purchaser: Standard Life PIT Vendor: Aviva Investors UK RERF
WELLINGTON PORTFOLIOCapital Value: £82.5m Net Initial Yield: 6.4%
Purchaser: DTZ Investors Vendor: Columbia Threadneedle
NEPTUNE PORTFOLIOCapital Value: £92.3m Net Initial Yield: 8%
Purchaser: NewRiver Retail Ltd Vendor: Undisclosed
LION PORTFOLIOCapital Value: £25.7m Net Initial Yield: 6.85%
Purchaser: Cordatus Property Trust / Vendor: IO Asset Management CBRE GIP
5 REGIONAL ASSETSCapital Value: £37.5m Net Initial Yield: 8.25%
Purchaser: Regional REIT Ltd Vendor: LaSalle Investment Management
NOV
SALELOCH PORTFOLIOCapital Value: £25m Net Initial Yield: 8.53%Purchaser: Under Offer Vendor: Columbia Threadneedle
LOCH PORTFOLIOLOCH PORTFOLIO
ACQUISITIONNAVIGATION PORTFOLIOCapital Value: £36.7m Net Initial Yield: 8%Purchaser: LCP Vendor: Pramerica/Waypoint
NAVIGATION PORTFOLIO
UK PORTFOLIO GUIDE 2015
Allsop 2015 Portfolio Guide
UK PORTFOLIO GUIDE 2015
ACQUISITIONMAPLE PORTFOLIOCapital Value: £30m Net Initial Yield: 8%Purchaser: Columbia Threadneedle Vendor: Rockspring PIM Ltd
TRAVIS PERKINS PORTFOLIOCapital Value: £32.25m Net Initial Yield: 6.13%Purchaser: Connection Capital LLP Vendor: Travis Perkins Plc
3 RETAIL PARKSCapital Value: £273.6m Net Initial Yield: N/APurchaser: Connection Capital LLP Vendor: Land Securities Plc
OCT
9 INDUSTRIAL ASSETS ACROSS THE SOUTH
DIGBY PORTFOLIO
ACQUISITIONDIGBY PORTFOLIOCapital Value: £30.5m Net Initial Yield: 7%Purchaser: Columbia Threadneedle Vendor: Wildbrook Investments
NORTH WEST INDUSTRIALS Capital Value: £42m Net Initial Yield: N/APurchaser: InfraRed Capital Partners Vendor: Stretton Property Group
BENTLEY PORTFOLIOCapital Value: £132m Net Initial Yield: 7.1%Purchaser: Benson Elliot Capital Vendor: Legal & General Property
ALHRAMBRA PORTFOLIOCapital Value: £149.65m Net Initial Yield: 5.5%Purchaser: Orchard Street IM Vendor: Private Investor
SPENHILL PORTFOLIOCapital Value: £250m Net Initial Yield: N/APurchaser: Meyer Bergman Vendor: Tesco Plc
SEP
SALEPROJECT WOKCapital Value: £32.1m Net Initial Yield: 6.83%Purchaser: Westbrook Partners Vendor: Workspace Group Plc
EPWIN PORTFOLIOCapital Value: £17.85m Net Initial Yield: N/APurchaser: Blackrock UK LLPF Vendor: Investra Capital Ltd
FERNDOWN PORTFOLIOCapital Value: £112.5m Net Initial Yield: 5.25%Purchaser: Blackrock UK LLPF Vendor: LaSalle Investment Management
AUG
SALEMANALIVE PORTFOLIOCapital Value: £21.35m Net Initial Yield: 8.25%Purchaser: EPIC-REIT Vendor: Värde Partners
STEPHENSON PORTFOLIOCapital Value: £50.75m Net Initial Yield: 11.2%Purchaser: Clearbell Capital LLP Vendor: Sterling Industrial
PROJECT LENNYCapital Value: £53.15m Net Initial Yield: 4.46%Purchaser: Orchard Street IM Vendor: M&G Real Estate
PUNCH TAVERNS PORTFOLIOCapital Value: £53.5m Net Initial Yield: 13.61%Purchaser: NewRiver Retail Ltd Vendor: Punch Taverns Plc
REGATTA PORTFOLIOCapital Value: £54.85m Net Initial Yield: 8%Purchaser: Catalyst Capital Vendor: KPMG
UK PORTFOLIO GUIDE 2015
UK PORTFOLIO GUIDE 2015
JUL
ACQUISITIONREGIONAL OFFICE PORTFOLIOCapital Value: £13.25m Net Initial Yield: 7.42%Purchaser: Standard Life Vendor: Aberdeen Asset Management
KONA PORTFOLIOCapital Value: £28.5m Net Initial Yield: 6.38%Purchaser: BMO Real Estate Partners Vendor: Helical Bar Plc
GARDEN PORTFOLIOCapital Value: £66.3m Net Initial Yield: 8.02%Purchaser: Praxis Asset Management Vendor: Blackstone Real Estate
RAMSAY RETAIL PORTFOLIOCapital Value: £69.1m Net Initial Yield: 7.7%Purchaser: NewRiver Retail Ltd Vendor: WM Morrison Supermarkets
JUN
ACQUISITIONPROJECT SPRING (BIZSPACE)Capital Value: £135m Net Initial Yield: 10%Purchaser: Värde Partners Vendor: PWC
P R O J E C T S P R I N G
MAYFLY PORTFOLIOCapital Value: £22.9m Net Initial Yield: N/APurchaser: Legal & General Vendor: Cerberus
PRINCIPAL TRUST PORTFOLIOCapital Value: £131.1m Net Initial Yield: 7.3%Purchaser: Columbia Threadneedle Vendor: Westbrook Partners
COMPASS PORTFOLIOCapital Value: £135.5m Net Initial Yield: 6.5%Purchaser: Legal & General UK PF Vendor: Private Investor
AMBER PORTFOLIOCapital Value: £153m Net Initial Yield: 8.17%Purchaser: Clearbell Capital LLP Vendor: Aberdeen Asset Management
PROJECT GINGECapital Value: £192.1m Net Initial Yield: 7.77%Purchaser: Brockton Capital LLP Vendor: Hansteen UK IPUT II
MAY
JABLITE PORTFOLIOCapital Value: £16.5m Net Initial Yield: 9%Purchaser: Brockton Capital LLP/ Vendor: BlackRock UK Property Brydell Partners
BOURBON PORTFOLIOCapital Value: £17.3m Net Initial Yield: 4.1%Purchaser: LaSalle Investment Management Vendor: Blackstone Real Estate
APR
SPANISH PORTFOLIOCapital Value: £50.5m Net Initial Yield: 9.76%Purchaser: Cording Real Estate Group Vendor: Brockton Capital LLP
LOGISTICS ASSETSCapital Value: £388m Net Initial Yield: N/APurchaser: Blackstone Real Estate Vendor: Oaktree Capital Man
MAR
SALEGARNET PORTFOLIOCapital Value: £9m Net Initial Yield: 11%Purchaser: Tosca Fund Vendor: Kennedy Wilson
SALESAPLING PORTFOLIOCapital Value: £11.7m Net Initial Yield: 8.22%Purchaser: Waypoint Vendor: Tristan Capital Partners
SAPLINGPORTFOLIO
UNION PORTFOLIOCapital Value: £83m Net Initial Yield: N/APurchaser: LetterOne Holdings S.A. Vendor: McLaren Property
UK PORTFOLIO GUIDE 2015
UK PORTFOLIO GUIDE 2015
EVANS EASYSPACE PORTFOLIOCapital Value: £84m Net Initial Yield: N/APurchaser: Bridges Ventures Vendor: Regus UK
TBLH + TBLPPCapital Value: £381m Net Initial Yield: 5.2%Purchaser: British Land Plc Vendor: Tesco Plc
FEB
PROJECT SAFARICapital Value: £30.681m Net Initial Yield: 7.49%
Purchaser: Mansford LLP Vendor: PFA Acquisitions
SPARK PORTFOLIOCapital Value: £33.3m Net Initial Yield: 8.69%
Purchaser: Ares Management LP Vendor: Legal & General Property
LIBERTY PORTFOLIOSCapital Value: £37.83m Net Initial Yield: 6.43%
Purchaser: Ares Management LP Vendor: LPA Receiver
LURI 5 PORTFOLIOCapital Value: £40.934m Net Initial Yield: 8.05%
Purchaser: Ares Management LP Vendor: Banco Santander
JAN
SALEHARRIER PORTFOLIOCapital Value: £15.42m Net Initial Yield: 7.23%Purchaser: Aureus (Harrier) Ltd Vendor: Hermes REIM
A mixed use investment portfolio
Harrier Portfolio
PENDRAGON PORTFOLIOCapital Value: £230.5m Net Initial Yield: 7.25%Purchaser: W P Carey & Co Vendor: Baupost Group LLC
BISHOPGATE UNIT TRUSTCapital Value: £370m Net Initial Yield: 6%Purchaser: Legal & General Capital Vendor: Bishopsgate LT PFUT
EMPEROR PORTFOLIOCapital Value: £136.7m Net Initial Yield: 8.2%Purchaser: Harbert European RE Fund Vendor: Goodman International
EAGLE PORTFOLIOCapital Value: £60.177m Net Initial Yield: 7.9%Purchaser: Mansford LLP Vendor: InfraRed Capital Partners
MARBLE PORTFOLIOCapital Value: £110m Net Initial Yield: 10.6%Purchaser: Goldman Sachs Vendor: KPMG
PROJECT LENNY HENRYCapital Value: £60.5m Net Initial Yield: 4.85%Purchaser: Aviva Investors Vendor: Undisclosed
*Source: Property Data
Year End
Portfolio Av. Weighted Yield
All Property Av. Weighted Yield
Average UK Base Rate
GDP Annual % Change
1999 First balloon flight around the world 7.83% 6.96% 5.34% 2.90%
2000 DNA sequencing of the human genome 8.26% 7.25% 5.97% 4.40%
2001 9/11 7.61% 7.16% 5.12% 2.20%
2002 Euro becomes legal tender 7.27% 7.05% 4.00% 2.30%
2003 England wins Rugby World Cup 7.38% 6.92% 3.69% 3.90%
2004 Major Tsunami disaster 6.56% 6.41% 4.39% 3.20%
2005 Hurricane Katrina destroys New Orleans 6.04% 5.77% 4.65% 3.20%
2006 England regains the Ashes 5.62% 5.27% 4.64% 2.80%
2007 Gordon Brown becomes British Prime Minister 5.28% 4.98% 5.51% 3.40%
2008 Banks go bust and Wales win a Grand Slam 6.48% 6.12% 4.68% -0.80%
2009 Recession - Barack Obama becomes the first black president
7.10% 7.24% 0.64% -5.20%
2010 Coalition Government Win Election 6.45% 6.31% 0.50% 1.70%
2011 Royal Wedding 6.97% 6.30% 0.50% 1.10%
2012 London Olympics 7.55% 6.30% 0.50% 0.30%
2013 WikiLeaks scandal 7.84% 6.41% 0.50% 1.70%
2014 Scottish Independence Referendum 7.47% 6.07% 0.50% 3.00%
2015 New Zealand win Rugby World Cup 6.8% 5.7% 0.50% 2.4%
WHAT DOES THE PAST TELL US?
Guy Scott PlummerAssociate
020 7543 6726
Dale JohnstoneAssociate
020 7543 6796
Mark DanskyAssociate
020 7543 6813
James SalmonSurveyor
020 7543 6880
Richard LeaSurveyor
020 7543 6832
Jeremy HodgsonPartner
020 7543 6709
Scott TylerPartner
020 7543 6719
David HammondPartner
020 7543 6721
Alex ButlerPartner
020 7543 6722
Andy PointonPartner
020 7543 6720
Jonathan ButcherSurveyor
020 7543 6755
Lottie HaywardSurveyor
020 7543 6750
THE TEAM
With over 150 years’ experience, our investment teams specialise in commercial investment sales, acquisitions, and development opportunities across the UK, in the office, industrial, retail and mixed use sectors.
• National Investment Sales/Acquisitions & Development
• Portfolio Sales/Acquisitions
• Dedicated Private Client Team
SPECIALIST INVESTMENT SERVICES
All Sectors All Sizes All Sold
firstname.surname@allsop.co.uk
www.allsop.co.ukwww.allsop.co.uk
Head office:33 Wigmore Street, London W1U 1BZTel: +44 (0)20 7437 6977
City office:2 Copthall Avenue, London EC2R 7DATel: +44 (0)20 7588 4433
Leeds office:33 Park Place, Leeds LS1 2RYTel: +44 (0)113 236 6677
0
2
4
6£
Letting & Management
Full circle property solutions