F&C Commercial Property Holdings has sold the leasehold investment for the Lion Walk shopping centre in Colchester to LaSalle Investment Management for £69m.

The 236,000 sq ft shopping centre is mainly comprised of retail units but also includes some office space and residential flats. Prime rents within the centre are around £167 sq ft and the total annual rental income currently stands at £4,388,000, offering an initial yield of 6.4%. Lion Walk is held on a 125-year lease from Colchester Borough Council which is set to expire in March 2102.

The centre is anchored by a number of major retailers which include Marks & Spencer, Boots, BHS and WHSmith.

Richard Kirby, director of property funds at F&C Property Asset Management plc, said: “We are delighted to have concluded this investment deal especially in the current challenging market conditions. This deal underlines the fact that there are still investors looking for attractive, well located retail holdings within the marketplace.”