Martin Property Group buys Chester mall out of administration
Martin Property Group, a family-owned Irish company, has acquired the freehold interest in the Grosvenor Shopping Centre in Chester from Grosvenor’s Eaton Estate.
The 211,845 sq ft shopping centre has been in the hands of receivers since summer 2020 when owner HIG Chester Property collapsed into administration.
The scheme was developed by Grosvenor in the 1960s. Grosvenor granted a 150-year head lease of the centre in 1996. HIG bought that headlease for £65m in 2015.
Martin Property Group, a family-owned Irish company, has acquired the freehold interest in the Grosvenor Shopping Centre in Chester from Grosvenor’s Eaton Estate.
The 211,845 sq ft shopping centre has been in the hands of receivers since summer 2020 when owner HIG Chester Property collapsed into administration.
The scheme was developed by Grosvenor in the 1960s. Grosvenor granted a 150-year head lease of the centre in 1996. HIG bought that headlease for £65m in 2015.
The acquisition also includes 400-space multi-storey car park on Newgate Street and the 94-bedroom Jurys Inn hotel, Leonardo, on Pepper Street, which opened in November 2021.
Gary Martin, Martin Property Group director, said: “The Grosvenor Shopping Centre is a very important asset within Chester, and we are delighted to take on its stewardship, a responsibility which we take very seriously.
“As a family business we share similar values with Grosvenor, which has been an important part of this acquisition for all parties. As custodian of this asset, we look forward to creating strong working relationships with key stakeholders, including Cheshire West and Chester Council, as we work together to ensure the future success of the centre.”
The deal follows Martin Property Group’s acquisition of Real Estate Investments Nederland BV and its portfolio of 1.2m sq ft of retail space across six UK shopping centres and student accommodation, earlier this month.
A spokesperson for Grosvenor’s Eaton Estate, said: “With the continued challenges facing the high street, and as Grosvenor has not owned or managed the shopping centre business since the 150-year head lease was granted in 1996, we believe that selling the freehold of the site to the Martin Property Group, which has established a reputation for sympathetically revitalising shopping centres across the UK and Ireland, provides the best opportunity to develop its offering and enhance the retail and leisure experience in the heart of the city.”
Lewis & Partners acted on behalf of Martin Property Group; Metis Real Estate Advisors advised Grosvenor.
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