Land Securities today announces that it has completed the sale of The Printworks, Manchester to DTZ Investors for £108 million.
Redeveloped and reopened in 2000, The Printworks is the premier Manchester city centre leisure destination, covering 368,770 sq ft over four floors. The landmark site is anchored by the 20 screen Odeon cinema, which houses the only IMAX screen in Manchester. In addition, there are 17 food and drink venues, including established brands such as Tiger Tiger, Hard Rock Café, Yates, Wetherspoons, Wagamama and Nandos, together with a health club.
The venue dominates the established Manchester leisure circuit and benefits from annual footfall of over seven million people per year, linked to events at the nearby MEN Arena. The scheme generates a net annual income of £6.75 million, with over 99% of the income secured to national multiple covenants.
Polly Troughton, Head of Portfolio, Leisure, Land Securities, said: “We have created value at The Printworks through asset management, resulting in the lowest level of vacancy rates for a number of years. This sale crystallises the increased value the team has delivered.”
Mark L Smith, Head of Leisure, JLL UK, said: “The Printworks sale represented a rare opportunity to secure a prime landmark City Centre scheme with strong rental growth prospects and asset management opportunities over the short and medium term. The resilient performance of the Leisure market has driven appetite for the sector, as investors seek to capitalise on rental and capital growth, driven by a strengthening occupational market and low vacancy rates.”
Tony Brothwell, Fund Manager, DTZ Investors said: “We have been looking to gain exposure to the vibrant central Manchester retail and leisure market and The Printworks represents a rare opportunity to acquire a major freehold investment located in the core of the City on an attractive yield basis.”
JLL acted on behalf of Land Securities, and Cortex Partners acted on behalf of DTZ Investors.