Leading UK real estate investment manager, Catella APAM (“APAM”) has acquired Corner Block in Manchester city centre from a Fund advised by Credit Suisse Asset Management for c. £23.5M on behalf of its client, Britannia Invest A/S.
Comprehensively refurbished in 2017, Corner Block is a high quality and prominent multi-let asset located on the intersection between Deansgate and Quay St. and in close proximity to Spinningfields and St John’s.
The building totals c. 60,000 sq ft with the ground floor retail let to Sainsbury’s, Tesco and Starbucks and six upper floors of Grade A office accommodation in c. 8,500 sq ft floorplates.
The property is multi-let to eight tenants with c. 18,000 sq ft currently available to let.
Chris Taylor, Director at APAM, commented: “We are delighted to acquire Corner Block as part of the continued expansion of Britannia’s UK regional office portfolio, which now exceeds £470M.
We have had significant asset management success in Manchester with Bridgewater House, where we have let 52,000 sq ft over the past 18 months. Corner Block provides an opportunity to build on our recent success in the city utilising our local presence and our asset management expertise.
Corner Block has been refurbished to a very high specification, and with further improvements to the tenant amenity offer which we have identified and will implement, we are confident that the building will continue to attract tenants and build on the leasing success of recent years.
Although the occupational market has inevitably been impacted this year by COVID-19, we believe given the quality of the micro-location, the building and vibrancy of the Manchester office market, particularly in 5-10K sq ft occupiers, the property is well placed to benefit as occupiers continue their return to the office.
APAM has been very active in 2020 growing the business to £2B of AUM and continues to actively seek core and core-plus opportunities for our capital partners across the key UK office markets, focusing on lot sizes ranging from £5M to £200M”
Cushman & Wakefield acted on behalf of APAM. CBRE acted on behalf of Credit Suisse Asset Management.