Capital & Regional plc and GE Real Estate UK, in a 30:70 joint venture, have exchanged contracts to acquire the Manchester Arena Mixed Use Complex which includes the 20,000 seat MEN Arena, for €89,3 million from Anschutz Entertainment Group ('AEG').
The property, located on an eight acre site in the heart of Manchester City Centre, comprises 120,000 sq ft of offices, a 1,075 space car park, ancillary retail and the 20,000 seat MEN Arena.
The Arena plays host to wide variety of music, sporting and comedy events. The Complex was completed in 1995 as part of the Manchester Olympic Bid and is now a well established international venue. Its versatility has led to its use for concerts, ice hockey, boxing, Disney shows, exhibitions and blue-chip AGM's. It has been nominated International Venue of the Year from 2001-04, and between 2003-05 it has been awarded the title of Busiest Arena Venue in the World. The Arena is operated by SMG (UK) Ltd an experienced operator of arenas and public venues worldwide.
The Complex incorporates 120,000 sq ft of multi-let offices, of which 91,000 sq ft is let as a call-centre. The property provides a good income profile with 88% of the income secured for over eight years and 42% of the income linked to RPI.
Source: Hudson Sandler