Gatehouse acquires $53m UK store
Manama, September 4, 2012
Gatehouse Bank, the Kuwait owned Islamic investment bank based in London, has completed the GBP33.4 million ($53 million) acquisition of the Debenhams department store in the centre of Leeds in the UK.
Working closely with its sister company GSH Kuwait, Gatehouse will deliver to its GCC client base a unique investment opportunity with an annual cash yield of seven per cent.
'This latest deal cements the reputation of Gatehouse Bank in delivering premium international investment opportunities that generate solid returns for the benefit of our clients,' said Gatehouse chairman Fahed Boodai.
'The team has a proven track record in the UK real estate market, and the acquisition of this impressive asset represents yet another milestone in terms of our objective to present investors with a strong pipeline of high quality transactions that offer long-term growth potential and security of return,' he added.
The store, arranged over six levels, is one of the most prominent retail assets in Leeds city centre and occupies a prime location on one of the main shopping thoroughfares.
Debenhams has demonstrated a long-term commitment to the property, having occupied the building in its entirety for more than 15 years.
Historically the store has ranked in the company's top 20 trading shops in the UK.
With a global real estate portfolio worth in excess of GBP575 million, Gatehouse is one of the most active non-institutional investors in the industry.
'Major UK shopping centres such as Leeds are continuing to see high levels of demand, even in the face of a wider economic slow-down, and the prime retail market has remained remarkably resilient,' said Gatehouse head of real estate Adam Cavanagh.
'The property is in a particularly desirable area of the city centre, where both retail and real estate fundamentals are extremely strong.
'These factors are all key for investors searching for high quality assets, and the Debenhams acquisition typifies our strategy of purchasing long income properties with well-established tenants and which deliver an attractive yield,' he added. – TradeArabia News Service