Adhan Group acquires 284,000 sq ft Rochdale retail
The Blackburn-based investor has added to its growing portfolio of shopping centres, snapping up Rochdale Exchange from Martin Property Group for more than the £3.5m asking price.
However, Adhan Group, which also owns the 700,000 sq ft Golden Square in Warrington, stepped in to buy the asset before it could go under the hammer.
The company also owns the leasehold of The Mall in Blackburn, which it bought for £40m earlier this year and the freehold of the 270,000 sq ft St George’s in Preston, which it acquired out of administration in 2021.
The investor exchanged contracts on Rochdale Exchange 48 hours after agreeing the deal and completed 24 hours later. Adhan is “looking forward to working with Rochdale Council to rejuvenate the centre”, the company said in a statement.
In total, the site spans almost six acres at the heart of Rochdale town centre and has significant redevelopment potential.
A feasibility study by DLG Architects in 2021 outlined how the retail complex might be repositioned.
DLG put forward several alternatives including one that would have seen 50% of Exchange redeveloped into residential.
The Rochdale shopping centre, which generates gross rent of £1.8m a year, was given a guide price of £3.5m.
A sale at guide price would have reflected a gross initial yield of more than 51%, according to sales particulars.
Units within the scheme are let to the likes of Costa, Poundland, Iceland, Holland & Barrett, Greggs, and Home Bargains.
Ryden acted for Adhan and Allsops acted for MPG.