Native Land to buy M&G’s Guildford Debenhams

Native Land has exchanged contracts to buy M&G Real Estate’s Debenhams department store in Guildford, which was marketed as a redevelopment play. Native Land said it will explore a range of development options for the asset, including homes for sale and rent together with mixed retail and commercial. The developer agreed to pay £20m for the 230,000 sq ft store, which is arranged over ground, lower ground and four upper floors in a 1960s building. It stands on a prominent 1.4-acre site fronting Millbrook, close to High Street, with dual aspects onto the River Wey. M&G’s Life Fund hoisted the for-sale sign over the store in January, when it appointed HP Four to advise on the process. Debenhams, which has begun winding down its UK operations, occupies the building on a long lease with an option to break in 2021. Alasdair Nicholls, chief executive of Native Land, said: “The Debenhams department store in Guildford is a perfect opportunity to unlock the potential of land and buildings, to revitalise urban neighbourhoods. “This is especially relevant to town centre locations, where repurposing bricks-and-mortar will ensure sustainable futures. Guildford is an affluent town which is also benefiting from the growing trend in living outside London and working from home.” John Duxbury, head of retail and leisure at M&G Real Estate, said: “The disposal of the Debenhams unit in Guildford town centre is part of M&G’s longer-term active management to repurpose the site. “The role of town centres is changing, and the Debenhams unit is the perfect redevelopment opportunity to convert this retail asset for uses which cater for the needs of the local community.” Kieran D Cotter & Co advised Native Land. To send feedback, e-mail pui-guan.man@egi.co.uk or tweet @PuiGuanM or @estatesgazette