Aviva Investors: Birmingham Will Be A Grower, Post-COVID
The building houses WeWork’s 55K SF sole outlet in Birmingham.
“55 Colmore Row was the kind of asset we really like, we spent a lot of time analysing it, but maybe the buyers made more bullish assumptions than we did, so we didn’t get it,” Aviva Investors Head of UK Real Estate Research Jonathan Bayfield said.
Bayfield added constraints in the Birmingham market limited its buying opportunities.
“Birmingham is a relatively small market with a tight prime pitch for us to go at, which means less investment opportunities, and we are disciplined buyers, we don’t just buy anything,” he said.
Bayfield said Aviva had invested “heavily” in its 84K SF block at One Temple Row. It now boasts the largest roof terrace in the city.
“Birmingham will be one of the top cities coming out of COVID and medium-to-long-term it is the type of economy that is well placed to grow,” Bayfield said.