Target Investment Opportunities plc, the investment fund controlled by the Los Angeles-based Oaktree Capital, has emerged as the purchaser of Navan Retail Park for a price of €11.5 million. The park is producing a rental income of more than €770,000 from 11,000sq m (118,402sq ft) of retail warehousing and, according to the new owners, has significant expansion opportunities.
Sigma Retail Partners, the recently founded retail asset management company headed by Marcus Wren, the former Nama senior retail property adviser, has been engaged by Oaktree to look after the Navan facility.
Wren said that with the acquisition of the Navan Retail Park, Oaktree had clearly demonstrated its ability to make quick decisions with contracts exchanged within 10 days of having agreed a price.
“Certainty of execution is a major factor in the current market and this transaction shows how agile the team can be in terms of decision-making and following through.”
Colliers International acted for the vendors.
Navan Retail Park was built in 2007 about a kilometre from the Co Meath town centre and has a number of vacant retail units which are to be targeted at specific traders by agents Bannon to ensure that a diverse mix is achieved.
The park was acquired as well as 3.4 hectares (8.5 acres) of land along with planning permission for an additional 3,000sq m of units with potential for a drive-through restaurant, coffee shop, car showrooms and a variety of complimentary leisure uses.
Wren said that drive-through restaurants in particular were notably absent from Navan and there appeared to be a significant demand for such a facility.
Existing occupiers of the park include crowd puller TK Maxx who changed the fortunes of the park overnight. They are paying 5 per cent of turnover in lieu of rent for a store extending to 1,860sq m (20,020sq ft); Other tenants are Homebase who are paying €200,000 per annum for 2,324sq m (25,015sq ft); Smyths Toys who are paying €135,000 for 1,394sq m (15,004sq ft) and Halfords who are paying €149,300 for 692sq m (7,448sq ft).
