MCR MAKES A TRIO OF ACQUISITIONS
25/09/2008
MCR Property Group has completed three acquisitions, in deals worth a total of £8.81million. These latest transactions brings the total number of acquisitions, MCR has made this year to 20, equating to £83 million.
Headed up by Aneel Mussarat, MCR purchased a two-unit retail warehouse scheme at Crostons Retail Park in Bury, Greater Manchester from Norwich Property Trust, for £4.8million. Located half a mile west of the town centre, B&Q occupies unit one, which measures 3,835 sq m (41,279 sq ft) and leases the building until 2022 at a rent of £392,150 per annum (£9.50 per sq ft). Unit two, offering 2,017 sq m (21,707 sq ft), is let to Netto on a 125-year long leasehold basis at a peppercorn, having recently acquired its premises for £4million.
MCR has acquired a 496.54 sq m (5,345 sq ft) mixed use property on Fountain Street in Manchester’s prime core for £1.41million from a Private Trust through the Cushman & Wakefield Auction. Comprising a restaurant on the ground, basement and first floor with self-contained offices arranged on the second and third floors, the premises are entirely let to Pizza Hut (UK) until 2011 at a rent of £90,000 per annum. Neighbouring occupiers include Debenhams, Primark, TK Maxx and branches of Barclays, Abbey and NatWest banks. The offices on the second and third floors are sub-let to the Manchester Central School of English until April 2011.
MCR has also acquired the former Towers Hospital site in Leicester for £2.6million. The 4.11 acre-site (1.66 hectares), which was bought through LPA Receivers, is located on Gipsy Lane in the leafy, Humberstone suburb of Leicester. The scheme comprises a partially completed 8,825 sq m (95,000 sq ft) residential development, incorporating a former Grade II listed Victorian hospital and seven new build blocks.
On the acquisition, Mark Hayes, investment director at MCR comments: “We have made a conscious business decision to increase our investment portfolio, taking a long-term approach to any opportunity.
“Both of the North West investments offer a secure income and provide good long-term rental growth prospects, whilst the Leicester property provides an opportunity to finally complete and let the scheme to the private rental sector. The site has planning consent granted for 86 apartments and 23 houses, which we intend to bring forward, creating an end value of £20million.”
For Crostons Retail Park, David Winterbottom (GVA Grimley) acted on behalf of MCR Property Group, whilst Edward Blood (King Sturge) acted on behalf of Norwich Property Trust.
For the former Towers Hospital site, DDM Partners acted on behalf of MCR Property Group (MCR) whilst DTZ acting as LPA Receivers represented Deutsche Bank.