Urban Splash sells Smithfield Building
Award winning regeneration company Urban Splash has today announced the sale of its iconic Smithfield Buildings in Manchester’s Northern Quarter to Aegon – a fund managing customer investments of over £57 billion.
This sale, to an institutional fund, marks the significant change undergone by Manchester’s Northern Quarter. This previously rundown area – the transformation of which was spearheaded by Urban Splash – was once unable to attract any tenants or investors and is now seen as one of Manchester’s fastest-growing districts warranting institutional investment.
Smithfield Buildings regeneration was undertaken by Urban Splash in 1995. On acquisition it was a run down structure with failing tenants, its largest tenant – retailer ‘What Everyone Wants’ – was in administration. The ownership was with administrators and the mortgagees were an insolvent BCCI Bank.
Now, the upper floors are fully sold on long leases and it is one of Manchester’s most desirable addresses; while the lower floors are fully let and now home to 19 independent retailers including Bikram Yoga, North Tea Power, Forbidden Planet, Oxfam Originals, Carharrt, Piccadilly Records and most recently Cow.
Speaking of the sale, Tom continued: "Smithfield is a great success and another building where Urban Splash’s work has been successfully done.
“When we first bought the building it was a ruin, it was not in the best condition and I am proud of how we have since successfully redeveloped it, sold off all of the residential units, fully let the commercial units to a range of occupiers and helped it become the flagship building in what is now Manchester’s Northern Quarter.
“The Smithfield Buildinga and Urban Splash were instrumental in establishing, and indeed naming, the Northern Quarter. It’s great to see what was once terrible part of Manchester attract great retailers and become a great destination.”
Urban Splash has received ten awards for its work at Smithfield, including a Housing Design Award and RIBA Award for Architecture. Tom concluded: “The building has been a success story, and this transaction further demonstrates the quality of the development which has also provided an early return to our co-investors The Pears Group.”
WHR and Lewis and Partners acted for Urban Splash as selling agents. Kames acted for Aegon.
