Barratt sells £46m of sheds

Barratt has agreed to sell £46m of industrial assets from its Wilson Bowden Developments subsidiary to Clowes Developments.

The buyer has agreed to pay £39.2m on completion of the deal in early 2009 with the remainder due in the next 18 months.

Barratt is selling Wilson Bowden’s assets to reduce its debt.

The deal includes the 111 acre East Midlands Distribution Centre at Castle Donington. Royal Bank of Scotland financed Clowes’ deal.

Ian Dickinson, finance director of Clowes Developments said:

‘We are pleased to have reached agreement on this transaction after lengthy negotiations in a very difficult market. The purchase of these properties will complement our existing property portfolio.’

The deal follows disposals totalling £155m since Barratt’s interim management statement was released on 18 November, including selling the Eagles Meadow shopping centre in Wrexham for £79m to LaSalle Investment Management.

Barratt also said the process of selling the assets and staff of Wilson Bowden developments is ongoing.

Jones Lang Lasalle Corporate Finance advised Barratt.

Jennifer Rigby Property Week