LONDON—An affiliate of Harbor Group International, LLC has acquired two prime London retail properties for about $13.6 million (£8.09M), the Virginia-based firm says.

Both properties are net leased to Sainsbury's Supermarket Limited, the second largest chain of supermarkets in the United Kingdom with a share of the UK supermarket sector of 16.8%.

“Harbor Group International continues to pursue real estate investment opportunities abroad, particularly in the UK,” said Richard Litton, president of Harbor Group Internations (HGI). “We have a track record of success overseas and true international reach. The acquisitions also reflect HGI's ongoing strategy to acquire street level, urban retail properties in major markets such as London, New York City and Washington, D.C., which we believe will provide significant long term value to our investors. HGI's current investment portfolio includes urban retail properties in these three markets.”

The London investment located at 266 Pentonville Road is a 3,789 square foot property net leased to Sainsbury's on a long term lease. The property is located 100 meters from the King's Cross railway station, which provides above ground rail lines to Europe and Northern England. It is the only interchange in London that provides access to six underground lines, the Circle, Hammersmith and City, Metropolitan, Northern, Piccadilly and Victoria lines. Since the mid-1990s the area has gone through major redevelopment with hotels, restaurants, and cultural venues added to the area.

The second London investment, located at 18 Great Suffolk Street, is a 5,908 square foot property net leased to Sainsbury's and Costa Limited (a major coffee store chain) on long term leases. The property is located in close proximity to the Great Suffolk Street/Southwark Street junction, the A3200 which links London Bridge to Blackfriars Bridge. Great Suffolk Street is a busy thoroughfare which has undergone a major transformation driven by the opening of the Tate Modern in 2000, which is only 300 meters to the north. The street is also highlighted on the Tate Walk which guides people from Southwark station to the Tate Modern. As such, thousands of visitors to the Tate pass by on a daily basis.

HGI is a private real estate investment and management firm which controls a portfolio of worldwide assets valued at approximately $4 billion.  HGI is headquartered in Norfolk, Virginia with offices in New York and Tel Aviv.  The company's real estate holdings include more than 7.4 million square feet of commercial properties and in excess of 24,500 apartment units.