St Modwen has instructed Colliers International to advise on the development of Kirkby town centre in Liverpool.
St Modwen recently acquired the 400,000 sq ft retail and leisure space, which is leased to 80 tenants and will be redeveloped to expand the existing offer and realise a 65-acre planning scheme.
Colliers also advised St Modwen on the purchase of Kirkby, for which St Modwen paid £35.8m, reflecting a net initial yield of 9%.
Tesco acquired the site in 2008 for £65m and planned to anchor a £400m redevelopment there. Its plans included a 100,000 sq ft Tesco Extra, a 200,000 sq ft retail park and a new stadium for Everton Football Club.
However, the scheme was among 49 development sites that Tesco said it would not be building following the discovery of a £250m black hole in its accounts.
Greg Styles, director at Colliers International, Leeds, said: “This deal represents a significant investment for Kirkby, and St Modwen certainly has the track record and experience to deliver. We look forward to working with the project team to bring St Modwen’s and its development partner’s vision for Kirkby to fruition.”
