How I Underwrote A £16.3M Retail Park In The UK

I underwrote a £16.3M retail park in the UK.

The land jumps 65% in value once planning clears.

- 8.5 acres on the A47
- Anchored by Aldi
- £11M debt already approved
- £5.3M equity still needed
- Target sale: £22.2M
- Exit target: Q4 2028

To fund deals like this, I ask 4 questions:

1) What stage of risk are we in?

- Land bought at a discount
- Planning enacted, upgrade in progress
- Half the tenants are still unsigned

2) What makes the location work?

- 17,742 cars pass daily
- Tesco Extra next door
- 60,000 people in catchment

3) How is the downside protected?

- Fixed price build contract
- Aldi, Burger King, EG are already committed
- No planning objections so far

4) Can we control the exit?

- One buyer, clean sale
- 3-month marketing window
- Can sell units separately if needed

Half the projected income depends on tenants who haven't signed yet. If they walk, the numbers get worse fast.

Verdict:

Strong fit for Family Offices
Strong fit UHNWs
Weak fit for Private Lenders
Weak fit for Institutions

If you allocate to real assets, let's connect 👋