A recently formed UK investment trust has announced the acquisition of Damolly Retail Park in Newry.

Metric Property Investments has paid £28.4m for the site, which represents its first purchase after being formed by three former executives from property giant British Land.

The retail park was owned by Corbo, a firm controlled by Ballymena developer Sam Morrison, who bought the retail park for a reported £35m in 2005.

Damolly Retail Park comprises 150,000 sq ft of retail space arranged across nine units let to a range of tenants including B&Q, Smyths Toys, Carpetright, Next and Currys.

Metric has also acquired an adjoining development site with outline planning consent for a 14,000 sq ft supermarket, with Corbo receiving potential further top-up payments of £6.5 million once this development has been let.

Metric was set up with the aim of buying shopping centres that have become more affordable in the property crash with the view to improving them and selling on at a profit.

Commenting on the deal, Andrew Jones, Chief Executive of Metric, said: "We have been rigorous in our investment strategy for Metric and are very excited to be announcing this as our first transaction.

"This acquisition satisfies the key investment criteria we set out at the time of the IPO, of acquiring well let retail investments off low rents and where our retail customers trade successfully. High occupier contentment is the key to growing rents and exploiting the arbitrage between current income and sustainable rents."

Stephen Kirkpatrick, Chief Executive of Corbo added: "We believe that this transaction demonstrates very clearly the high quality nature of Corbo’s extensive retail property portfolio, which is supported by the fact that a purchaser of Metric’s standing has chosen Damolly as its first investment.

"The transaction with Metric also further reinforces the increasing institutional nature of the Northern Ireland property market.

"This disposal forms part of Corbo's strategy of pursing growth opportunities from both within and outside its retail focused property portfolio."

(NS/BMcC)