Five key buildings at Brindleyplace sold to international investors
Jul 1 2010 by Alun Thorne, Birmingham Post
Five prime office buildings at Birmingham's Brindleyplace plus the estate’s retail and restaurant space and multi-storey car-park have been sold in one of the city’s biggest ever commercial property deals.
The acquisition by Hines Global REIT and Moorfield, the UK real estate private equity investor and fund manager, is expected to be completed by mid-July for an undisclosed sum although a figure of around £200million has ben previously rumoured.
The buildings have been acquired from the Brindleyplace Limited Partnership, which is made up of a number of institutional and private investors.
The buildings that are being sold are Three, Four, Five, Six and Nine as well as the multi-storey car park, the Costa coffee building, the Ikon and the Crescent Theatre.
Gary Taylor, joint managing director of Argent (UK Developments) wjhich developed and will continue to manage the estate, said: “We have been involved with Brindleyplace for the past 17 years, and during this time the estate has matured into probably the best mixed-use environment anywhere in the UK.
"We are delighted that the majority of the estate is staying in one ownership, and that two such outstanding organizations as Hines and Moorfield share the same customer-focused, long-term management ethos that we have adopted since the early 1990s. We look forward to working with them."
Charles Hazen, president and CEO of Hines Global REIT, added: “This asset was extremely attractive to the Hines Global REIT due to its prominent position in the market and its strong and stable tenancy.
“As one of the top mixed-use properties in the UK, we believe this acquisition reinforces our strategy of investing in fundamentally sound real estate across the globe.”
And Stephen Musgrave, managing director of Hines UK, said: “This is a significant move for Hines and Moorfield. Brindleyplace is an extremely strong asset, which we will continue to shepherd carefully applying Hines’ investment, development and property management skills, complemented by Moorfield’s skill base, to build on the tremendous work Argent has already done to add value to this important area of Birmingham’s city centre."
Moorfield will invest on behalf of the Moorfield Real Estate Fund II (MREF II), a geared fund which raised approximately £400m of private equity on closing at the end of 2007.
Marc Gilbard, chief executive of Moorfield said: “We have known both Hines and Argent for many years, and have looked at opportunities in the past where we might be able to work together.
"This acquisition will enable all three of us to come together from an asset management perspective, and I believe our complementary skill base will ensure that all parties, including Brindleyplace tenants, will benefit going forward.”
