French investor acquires prominent Manchester offices for £47m
Prominent Manchester office building 101 Barbirolli Square has been sold in a £47m deal.
French asset manager La Française has bought the 87,000 sq ft from AEW Investors, which acquired the building in 2015 for £31.7m.
AEW’s director of asset management Martin Payne said the sale “brings European inward investment into Manchester, demonstrating the confidence in the outlook for the city”.
It is La Française’s first purchase in Manchester, although it already owns sites in London, Edinburgh and Bristol.
Peter Balfour, head of real estate UK for La Française Real Estate Managers, said: “Manchester has been a target market for some time, being a vibrant European city that is home to many successful national and international companies underpinned by a dynamic workforce.”
101 Barbirolli Square is next to Bridgewater Hall and close to Manchester Central. The building is fully let, with Handelsbanken the main tenant, occupying four of the seven floors.
The deal was welcomed as a sign of the strength of the Manchester market by advisers on both sides of the transaction.
James Porteous, director of capital markets at JLL, who advised La Française, said: “As the city continues to attract significant occupiers, it is unsurprising that we are seeing increasing interest from overseas and domestic buyers who are attracted to this dynamic and vibrant city.”
Oliver Foster, director of UK investments at Savills, who supported AEW, added: “The sale to La Française Real Estate Managers has re-confirmed the strength and depth of investor appetite for the Manchester office market, despite the current global macro challenges.”
