7 July 2011
Salmon Harvester Properties, the joint venture between Salmon
Developments and NFU Mutual, has forward funded a £17.4 million
hotel and retail development in Bondway, Vauxhall, South London
with Scottish Widows Investment Partnership (SWIP).
The 148 bed hotel is pre-let to Travelodge on
a 35-year lease at an annual rent of £926,730, with five yearly
upward only rent reviews linked to RPI. The Developer is in
advanced discussions with a national food retailer to prelet the
prominent 6,000sqft ground floor unit.
Construction work has commenced with
completion in November 2012.
Philip Skottowe development director of Salmon
Harvester said: “We are delighted to have secured an institutional
partner of the calibre of SWIP to fund this prime
development. The location adjacent to the Vauxhall transport
interchange puts this scheme at the heart of Vauxhall’s
regeneration.”
Nick Ireland, Investment Director, Real Estate
at SWIP commented “Salmon Harvester has an excellent track record
of delivering high quality buildings and coupled with the long term
index-linked income, this development will provide a prime and
secure central London asset for our investors.”
SWIP completed the acquisition on behalf of
HIFML UK Limited and it is the third purchase since they took over
the mandate in May.
Salmon Harvester was represented by Capita
Symonds and Bidwells while SWIP was advised by Joiner Cummings.