Development Securities announced that it has acquired the non-foodstore element of The Killingworth Centre, a convenience retail shopping centre near Newcastle from Wm Morrison Supermarkets plc for £19.2 million at an 8.27% net initial yield. Completed in 2000, The Killingworth Centre is the principal retail destination within Killingworth, a suburban commuter town 5 miles from Newcastle City Centre. The covered shopping centre is the principal retail and leisure destination for the local community, comprising a 73,000 sq.

ft. Morrisons foodstore, a 70,000 sq. ft.

Matalan and 28 further retail units totaling 106,000 sq. ft. which are let to a range of national and local operators including Poundworld, Wilkinson, Card Factory and Boots.

The Morrisons foodstore will remain outside of Development Securities' ownership. The shopping centre is currently fully occupied with a weighted average unexpired lease term of 5.1 years and offers a number of asset management opportunities.