Hammerson’s retail park portfolio sale is up in the air after the deal failed to complete by its deadline today.
Orion’s European Real Estate Fund V, which had exchanged unconditional contracts to buy seven retail parks for £400m, told Hammerson this morning that it does not intend to complete the transaction today.
Hammerson said it is “in dialogue with its counterparties at Orion”.
In accordance with the terms of the sale and purchase agreement, Hammerson will now serve a notice to complete on Orion specifying that completion must occur by no later than 6 May.
If the deal does not close by that date, Hammerson said it will take steps to terminate the SPA. The £21m deposit that Orion paid, which is currently held in escrow, will become immediately due and payable to Hammerson.
EG previously revealed that Hammerson had appointed Morgan Stanley to sell the portfolio in December for £400m. If the sale proceeds, it would mark the completion of the largest deal for a UK retail park portfolio in a decade.
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