Property giants go shopping in Lancashire
ORCHARD Street Investment Management and developer St Modwen have both gone on shopping sprees in Lancashire.
Orchard Street has bought the Market Walk Shopping Centre at Chorley in a deal worth £22.25m, while St Modwen has bought The Market PRecinct at Farnworth in Bolton for £4m.
Orchard Street’s purchase of the 103,000 sq ft Chorley scheme was at a net initial yield of 7.5%. The centre was bought from RREEF UK Retail Property by Orchard Streeet’s UK Special Situations Fund. It was advised by Knight Frank, while Jones Lang LaSalle advised RREEF.
Meanwhile, St Modwen’s purchase of the 21-unit precinct in Farnworth complements regeneration efforts being made in other parts of the town, according to the firm’s North West regional director Michelle Taylor.
“Farnworth Market Precinct provides a secure rental income with numerous opportunities to add value and improve the convenience shopping offer in Farnworth,” she said.
“As such, it will complement St. Modwen’s UK-wide retail portfolio which, under our management, continues to perform strongly with high occupancy and robust rental levels.
She added that the precinct’s positioning between the town’s market and its main shopping thoroughfare offered opportunities for the firm to bring forward regeneration plans of its own.
“We will look to work closely with Bolton Metropolitan Borough Council and other stakeholders to identify opportunities to continue driving positive change in the area.”
King Sturge acted for St. Modwen and Jones Lang Lasalle advised the vendor.
