AEW has acquired a 120,000 sq ft Debenhams in Chelmsford for £4.8m as a development for leisure, offices or residential.
The purchase for its UK Core Property Fund is part of AEW’s strategy to develop weaker retail and leisure opportunities.
The Chelmsford acquisition is the latest Debenhams to be considered for residential development, following plans from Hammerson, Native Land and St James Securities among others.
This week, online fashion retailer Boohoo rescued the Debenhams’ brand and website in a £55m deal which will see all 118 stores close.
AEW has already begun developing sites for residential, with plans for up to 350 homes at Hengrove Leisure Park in Bristol.
In a separate deal, AEW also revealed it has acquired a 650,000 sq ft industrial estate near Bury in St Edmonds. It bought Shepherd’s Grove Industrial Estate for £15.6m. The property is fully let to DHL Supply Chain with a WAULT of five years and a net initial yield of 10.9%.
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