Israeli investor MDSR snaps up Festival Place for £99.1m
Israeli investor MDSR Investments has acquired the Festival Place shopping centre in Basingstoke from receivers BDO for £99.1m.
On 12 May 2023, BDO’s business restructuring partners Tony Nygate, Kiri Holland, and Lee Causer were appointed as fixed charge receivers for the shopping centre.
Since their appointment, they have worked alongside asset managers Sovereign Centros from CBRE to maximise the value, resulting in over 80 leasing deals and boosting occupancy levels. They have also brought in 24 new brands to the centre.
Israeli investor MDSR Investments has acquired the Festival Place shopping centre in Basingstoke from receivers BDO for £99.1m.
On 12 May 2023, BDO’s business restructuring partners Tony Nygate, Kiri Holland, and Lee Causer were appointed as fixed charge receivers for the shopping centre.
Since their appointment, they have worked alongside asset managers Sovereign Centros from CBRE to maximise the value, resulting in over 80 leasing deals and boosting occupancy levels. They have also brought in 24 new brands to the centre.
A significant leisure upgrade is also underway, with new lettings to Superbowl and Hans Buffet, occupying 16,750 sq ft and 10,000 sq ft respectively.
There is also significant interest in the former Debenhams store, which extends across three floors and totals 107,014 sq ft.
Festival Place spans 1,127,629 sq ft across 20 acres. Key anchors include Marks & Spencer, Next, and H&M, with other notable tenants including Superdrug, Apple, Nando’s, Sports Direct, Five Guys, TK Maxx, and Vue Cinema.
The shopping centre boasts a solid Weighted Average Unexpired Lease Term (WAULT) of 5.76 years, with an average of 4.36 years to tenant break options.
Mark Garmon-Jones, director of retail investment at Savills, said: “The property provided the purchaser with an opportunity to acquire an asset with significant future potential. There are already considerations around introducing a mix of new exciting retail and leisure uses, aimed at enhancing dwell time, footfall and customer spend.”
Tony Nygate, partner at BDO, said: “Following a comprehensive two-year strategy to improve and maximise the value of Festival Place, we are pleased to have completed the sale and achieve this outcome for creditors.”
Savills acted on behalf of recievers BDO; MDSR Investments were advised by CBRE and Estama.
