Garness Jones is delighted to have overseen the successful sale of a purpose-built Hull retail centre to an investor – and to have been appointed to manage the site for the new owner.
Our team was instructed to secure a successful sale of Kingswood Parks Retail Centre, in School Lane, a development of seven Class E retail lock-up shops, with a self-contained upper floor residential space.
The parade comprises of a mixture of operators including a Co-op convenience store, a café/bar, a hair salon, a beauty salon, a barber shop and an estate agents.
Acting on behalf of Central Land Holdings to secure the best possible sale, our team negotiated new extended leases and rent agreements with current tenants, making the development a more attractive investment opportunity, and is now marketing a vacant unit.
A seven-figure sale was agreed for the 7,900 sq ft site, and Paul White, director of Garness Jones, says the work done by the team ensured it was a ‘great deal for all parties involved.’
Issues resolved for vendor and buyer
“We’re delighted to get this deal over the line as it really is an exceptional asset and one which is a great investment for the buyer given the tenants in place, and its proximity to a local population of around 10,000 people,” he said.
“When we were instructed, we reviewed the site and identified some potential issues which we felt needed resolving to secure the best price and attract interest from investors.
“There were a couple of lease renewals which needed to be resolved with tenants and we also had to conduct rent reviews to ensure they were matching market rates. Added to that, we had to repossess a unit due to management breaches with the tenant.
“These are all issues which our team has dealt with, which a potential buyer could see as a risk if they were not resolved. By taking care of these issues, we ensured best value for the seller, and also for the buyer, who knows the asset is a safe investment.
“We have also successfully identified a suitable occupier for the vacant unit and agreed heads of terms with a new operator, who is due to open shortly, bringing the scheme back up to 100% occupancy.
“This deal clearly demonstrated the ability of our team at Garness Jones to manage all aspects of a development sale, delivering an excellent outcome for all parties involved.
“I’d like to thank Enisha Ali of Wilkin Chapman Rollits, who acted on behalf of the vendor and Robert Hill of Andrew Jackson Solicitors, who acted on behalf of the purchaser, in assisting in getting the deal over the line.”
Garness team to provide asset management services
Moving forward, Garness Jones will now provide full asset management services for the new owner, a role Mr White says will see the team focus on ensuring it is always maximising returns, and in the best position for a future sale.
“Our role now is to ensure this site delivers maximum returns for the new owner with proactive management,” he said.
“That means establishing excellent relationships with tenants, ensuring the units and the overall development are well maintained for both tenants and visitors, and that leases and rents are all regularly reviewed to ensure the owner maximises the return on their investment.
“We’ll also advise on any future development opportunities should they arise.
“By doing all this you ensure a development is not only performing to its best in terms of returns, but also that it is ‘sale ready’ should the owner ever wish to dispose of the asset in the future, as it will be attractive to potential buyers, as a hassle-free investment
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