£210M Trafford Park Sale Falls As Pre-Pandemic Pricing Collapses
This is the second Manchester deal to have failed to complete, bringing the total to £720M. Bisnow is holding a webinar on investing in industrial on 23 April.
Warrington Council was to have paid £210M for a selection of industrial and logistics assets at Trafford Park, Manchester, in a deal with U.S. investor Harbert Management Corporation.
The portfolio includes the 240K SF Trafford Point development close to junction 10 of the M60 motorway.
Warrington Council has now walked away from the deal, but said it may come back later in the year, PlaceNorthWest reported.
The sale price is reported to be above the £200M asking price. The pandemic means that the asset’s risk profile has changed, the council told PlaceNorthWest.
Last week Manchester Airport Group’s efforts to sell a portfolio including a 50% stake in the Airport City development site was in doubt after asset manager Columbia Threadneedle pulled back from a deal, citing a material adverse change in circumstances. The £510M deal is currently off but repricing to reflect the new risk profile could mean the sale is resurrected.
"At this point talks are ongoing and we are unable to comment further," Columbia Threadneedle said in a statement to Bisnow.