Beeston shopping centre set to expand after property deal
Broxtowe Borough Council has bought the long leasehold interest in The Square Shopping Centre in Beeston for £7.6m in a move that will bring forward its expansion.
The Centre, which was originally built in the 1960s and is home to tenants including Peacocks, Birds, Argos, Wilkinsons, Costa Coffee and Pure Gym, totals some 80,000 sq ft of retail accommodation together with three apartments.
FHP brokered the deal on behalf of the Council.
Ted Czerniak, director of housing, leisure and property services at Broxtowe Borough Council, said: “The opportunity introduced by FHP to Broxtowe Borough Council was too good an opportunity to miss.
“We have transferred assets that were producing relatively low level of return and by buying the Shopping Centre will now see a return of close to 7% on our investment.
“Furthermore it provides us with control for the development of Phase 2 of The Square Shopping Centre on the adjacent site that was previously the bus station, car park and fire station.
“We will shortly be going out to the market to find a developer or development partner, who we hope will develop a cinema, restaurants and other uses to bolster the night time economy in Beeston, to create jobs and to take advantage of the tram system. ”
David Hargreaves of FHP said: “We became aware that the owners, Henry Boot Developments, were looking to bring the long leasehold interest in the investment to the market in the summer and suggested to Broxtowe Borough Council, who own the freehold, that this would be a solid and secure investment for them, whilst at the same time providing them with control over a major part of Beeston town centre.
“Henry Boot Developments had completed the refurbishment of The Square and the tram had opened which has resulted in a significant increase in pedestrian flow in this part of the town and so it was an opportune time to buy and Broxtowe Borough Council took an entrepreneurial view and asked us to try to buy the scheme before it hit the market, which is what we did. ”
Amy Walker of Anthony Collins Solicitors provided legal advice for Broxtowe Borough Council.
Henry Boot Developments were represented by Irwin Mitchell.
