Tops Estates has won the bidding for Provincial House in Leeds. The move could complicate USS’s redevelopment plans for its adjacent Leeds Shopping Plaza.
Abbey National sold the office and retail building at 26 Albion Street for just under £6m. USS also bid for Provincial House, which backs on to Trinity Road Arcade and Burton Arcade. USS bought both arcades for £24m on a yield of 6.25% last August.
USS’s Robert Walden said the company is looking at various development options for the arcades including building bigger retail units. At present, the arcades are let to a number of smaller retailers.
Walden said: “Obviously before finalising our drawings we will be talking to Tops Estates”. But he insisted that any possible redevelopment of the arcades can go ahead without Provincial House.
But according to one local source: “The move is clearly a defensive measure [by Tops] to stop USS coming out onto Albion Street”.
Leeds Shopping Plaza is anchored by Virgin Megastore and has been revamped over the past two years. Other tenants include TK Maxx, JJB Sports and Boots the Chemist.
Dalgleish & Co acted for Abbey National, while Fawley & Booth advised Tops Estates.
EGi News 05/11/98
