Across the region, this represented an increase of 38% from Q1 2013 and a considerable improvement on Q2 2012 levels of £142m.
Healthy demand for prime stock
Activity was dominated by Crown Estate’s acquisition of The Coliseum Shopping Park at Ellesmere Port for £80m, accounting for 28% of total investment activity. Other key deals included Oaktree Capital Management and Moorfield’s acquisition of 100 Barbirolli Square, Manchester for £41m, LaSalle Investment Management’s acquisition of the shopping centre at Church Square, St Helens for £27.73m and Canada Life Assurance’s acquisition of Grand Central, Stockport for £22m.
UK buyers dominate the North West market
Abid Jaffry, Director and Regional Head of Capital Markets at LSH commented: “The number of key transactions completed in Q2 2013 highlights the growing appetite for investment in the region. The major investors within the North West were UK Buyers, accounting for 93% of the quarterly total, as they seek value away from the ultra competitive Central London market. However, there is still the problem of a lack of prime stock to satisfy the growing number of requirements.”
Retail sector activity levels up 176% on the previous quarter
The Ellesmere Port deal provided a significant boost to the retail sector with activity levels increasing by 176% from the previous quarter. The office sector which accounted for 68% of the total market in Q1 2013 dropped to 34% in Q2 at £99.6m and the industrial sector remained steady, accounting for 12% of the Q2 market at £35.79m.
To view our full UK Investment Tansactions (UKIT) report, please click here.