Capital & Regional is in talks to sell its 500,000 sq ft Great Northern leisure scheme in Manchester city centre to Resolution Property.
The Grade ll-listed block is being lined up for sale at between £70m and £75m.
The former goods warehouse was redeveloped into a leisure scheme in 1996 and cinema operator AMC took a lease for 150,000 sq ft. However, AMC has used only half the space for a 16-screen cinema. All Star Lanes recently signed up to Great Northern.
Capital & Regional bought Great Northern for £72.5m in June 2002 in a joint venture with AWG Developments. AWG sold its 50% stake for £20m three years later.
The asset was almost sold to Manchester city council for £80m three years ago, but the deal broke down. The council wanted to link it to the nearby Manchester Central exhibition and conference centre.
CBRE is advising Capital & Regional; Jones Lang LaSalle is acting for Resolution Property.
annabel.dixon@estatesgazette.com
