Meyer Bergman and Thor Equities, the owners of Mayfair’s Burlington Arcade, W1, have hired new agents to sell the property at a £350m guide price – £50m below the price they sought through CBRE in January.
The pair are understood to have instructed Michael Elliott to dispose of the UK’s oldest retail arcade following a series of asset management initiatives, including the appointment of a dedicated general manager.
A sale at the 12.5% lower guide price would reflect a yield of 3.3%, with reversionary potential.
Burlington Arcade is one of the last remaining properties held in Meyer Bergman’s European Retail Partners I fund, launched in 2007, which the company has been gradually selling assets from to return cash to investors.
CBRE was appointed to seek £400m for the arcade, but the adviser has been replaced by the investment partners.
Thor and Meyer Bergman bought the 0.5-acre freehold estate for £104m in 2010. They fully refurbished the property and re-let space to luxury brands including Manolo Blahnik and La Perla.
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