Parkwood Asset Management was established in early 2002 by Robert Maxted, John Lorimer and Derek Lucie-Smith, expressly to invest in the UK shopping centre market. Attracted by the relatively high entry level yields and the high quality of many of the covenants which appeared to be mispriced, the possibility of managing and enhancing multi let income streams with a diverse risk profile was an attractive prospect.

In the first four years of its existence Parkwood acquired seven shopping centres (1.1m sq ft with a number of ancillary car parks as integral elements of the centres) for some £140m. The centres were acquired with third party debt and co-investors, with the partners ALWAYS investing their own capital alongside. 

On completion of the asset management plans - and latterly with an increasing belief that the low level of yields was unsustainable - all of the centres were sold for a total of £184m providing co-investors and the Parkwood partners with IRR’s of well over 50% in each case. The last centre (in Port Talbot) was sold on January 16, 2007.

Since 2006 Parkwood has concentrated on the German retail market where it has acquired some €100m of properties with a total area of 90,000 sq m. The third party debt was provided by LBB and Nationwide bank and our partners are Investec Bank and NM Rothschild & Sons.

Parkwood also has a joint venture investment company - Parkwood Property Investments Ltd - that has acquired a 29.9% stake in Gresham House Plc, a listed investment trust where the stated aim is to maximise the value of an under-managed property portfolio. Planning consents have been obtained or applied for, properties sold, income increased for certain assets and vacant possession obtained where consents for change of use are being sought.

Fleet Walk Shopping Centre, Torquay

The Strand Shopping Centre, Isle of Man

Aberafan Shopping Centre, Port Talbot