Land Securities has bought The Printworks leisure complex in Manchester for £93.9m.
The REIT agreed the off-market purchase with Resolution Property for the Withy Grove 350,000 sq ft asset, which comprises a 20-screen cinema and 19 restaurants. Sources close to the deal said the price reflects a circa 6.25% yield.
Tenants at the Printworks include Nandos and Odeon. The scheme is currently 93% let with a weighted average unexpired term of 12.9 years.
Resolution bought it in 2008 from British Airways Pension Trustees and Pearl Group for circa £100m. The former newspaper printing site was redeveloped in 2000.
Land Securities’ executive director Richard Akers said: “Leisure is not subject to the same structural changes currently occurring in retail and its importance in how and where people choose to shop is growing. The Printworks is the dominant leisure scheme in one of the top cities in the UK and its acquisition builds upon the significant relationships we have across our portfolio with leisure operators.”
joanna.bourke@estatesgazette.com
