Retail parks: The Junction

"Although Retail Warehousing saw a significant repricing in 2007, the Junction Fund continued to create new space for our tenants, made progress with our key developments, refurbished existing parks and focused on further improving our low vacancy rates"
                                                         John Gatley, Managing Director, The Junction

What is the Junction?

The Junction Fund is a specialist retail warehouse fund with a dedicated in house management team. It owns a retail park portfolio which includes significant development opportunities. The investment criteria are:

  • At least 80,000 sq ft multi-let retail park, freehold or long leasehold.
  • Planning consent for open A1, bulky goods or a mix thereof.
  • Value enhancement opportunities.
  • Either the dominant scheme in local catchment, or ability to become so.

 

Top five tenants by rental income (2007)

  Units 
     
B&Q 14.81 
DSG Retail 11  7.49 
Home Retail Group 6.25 
Comet 5.19 
Wickes 3.96 

 

The Junction key statistics

  At 30 December 
2007
 
At 30 December 
2006
 
     
Properties at market value £1,223m  £1,590m 
Number of properties (core) 14  16 
Number of units 223  233 
Initial property yield 4.37%  3.29% 
Equivalent yield 5.32%  4.45% 
C&R share 27.32%  27.32% 
Bank debt £649m  £696m 

Related links