Helical Bar has agreed to buy the David Morgan department store and Royal and Morgan Arcades in Cardiff from the Morgan family for £29m.
The deal, which will legally complete next year, was tipped by Estates Gazette in March.
The 170,000 sq ft (15,793 sq m) David Morgan department store, located on The Hayes in Cardiff, is being sold with vacant possession.
The neighbouring 65,000 sq ft (6,038 sq m) Royal and Morgan Arcades are fully let and generate a rent roll of £1.15m pa.
The site has been owned by the Morgan family for over 124 years.
Helical, backed by joint venture partner Legal & General, intends to submit a planning application in the next few months to subdivide the listed department store into a number of large shops fronting The Hayes.
Helical wants to cash in on Land Securities and Capital Shopping Centres’ 750,000 sq ft (69,675 sq m) development of the nearby St David’s 2 Shopping Centre scheme, which will be anchored by a 250,000 sq ft (23,225 sq m) John Lewis store, and will be completed in 2008.
References: EGi News 05/05/04
