07th Feb 2007 - Cala Properties £65M Shopping Centre Deal
Joint Venture to Purchase Motherwell Town Centre
CALA Properties has concluded missives to purchase the Brandon Shopping Centre in Motherwell, in a £65 million joint venture deal with Bank of Scotland, Corporate.
The Edinburgh based commercial property company has secured the 20 acre site comprising 350,000 sq ft of retail space and is planning a programme of improvements and active asset management.
The Brandon Centre has a number of high street retail brands including Argos, Primark, Woolworths and Boots.
CALA Properties' Managing Director Alasdair MacConnell said: "Retail is an increasingly important part of our business and we have identified the opportunity to grow the value of the Brandon Centre through active asset management and development. The centre is already popular with retailers and shoppers alike and this change in ownership is an excellent opportunity to review and develop the retail mix and improve the shopping centre for the people of Motherwell".
MacConnell continued; "The shopping centre is at the heart of Motherwell's community. We want to give it a new lease of life, mirroring the work being done in other parts of Lanarkshire to revitalise traditional town centres and attract further investment."
This is an exciting opportunity for CALA Properties at an important time in Motherwell's history with the recent announcement of a £1bn redevelopment of the former Ravenscraig steelworks site close to Motherwell.
MacConnell commentated "The Brandon Centre is a long established, vital and viable town centre. The proposed development at Ravenscraig is obviously a huge investment and will bring further competition to Lanarkshire's traditional town centres. However, we plan to provide a series of improvements that will contribute towards securing the future of the Brandon Centre and an important part of traditional Scottish community life"
Susan Macrae - CALA Properties - 0131 535 5200
Graeme Mair - Liddell Thomson - 0141 221 5775
Mark Elliott - Bank of Scotland Press Office - 0131 243 5572
Brandon Shopping Centre, Motherwell
Deal: £65 million JV with Bank of Scotland, Corporate
20 acre site
350,000 sq ft of retail space
590 car parking spaces
Vendor: CIS Limited
DTZ Debenham Tie Leung acted for CIS Limited
Conroy Laurie acted for CALA Properties Ltd
CALA Properties is a successful and ambitious company developing, managing and investing in commercial property across the UK, focusing on office, retail, leisure, industrial and mixed-use developments. The business is established on the successful delivery of developments and effective asset management. It is directed by an experienced management team, which places integrity and performance at the heart of its business culture. www.calaproperties.co.uk
Bank of Scotland Corporate
Bank of Scotland Corporate Banking is part of HBOS plc, the UK's 4th largest bank by market capitalisation. HBOS is UK market leader in the provision of mortgages and savings products and has some 21 million customers and over 67,000 employees. Bank of Scotland has a reputation for excellence in the provision of corporate finance, delivering innovative funding solutions across a range of markets. It has established a strong joint venture portfolio of some £7.6 billion across 110 JV investments since setting its Joint Ventures team in 2000. Typically, the bank invests in vertical (integrated) funding opportunities (i.e. debt plus equity) and weighty equity stakes (typically 25-50%) with the Bank being pro-active in driving value. Bank of Scotland's Joint Venture team has a strong track record forming partnerships in hotels, housebuilding and commercial property.