55 Spring Gardens

Linder Myers agrees leaseback deal with CBRE

Simon Donohue

CBRE Global Investors has exchanged contracts to acquire 55 Spring Gardens in Manchester from the Linder Myers law firm in a £11.6m sale-and-leaseback deal.

The building will be refurbished at a cost of £3.3m as part of the deal, which will see Linder Myers become the sole tenant and sign a 25-year lease for the 47,580 sq ft building.

The deal reflects a net initial yield of 7.8% for Linder Myers, which bought the building for £8.5m in 2011.

The transaction will complete in December once the planned refurbishment of the building has been carried out.

Staff will relocate to 55 Spring Gardens from the four offices Linder Myers currently occupies in Manchester: 19 Spring Gardens, York Street, and two sites in Cross Street.

Rob Trevor, senior director at CBRE Global Investors, said: "We are pleased to have secured this prime asset in Manchester's central core which is to undergo a comprehensive and high quality refurbishment.

"We are looking forward to working with Linder Myers over the next few months during the refurbishment."

Rehan Zaman of CBRE, who represented CBRE Global Investors, adds: "The Manchester market is currently the focus of a great deal of investor interest and with availability of long income in prime Manchester locations being particularly limited, we anticipate strong performance from this asset for our client."

Bernard Seymour, managing partner at Linder Myers, said: "This is a pleasing development as we move forward with our plans to provide a first class office environment to reflect our recent growth and the quality of services provided to both private and commercial clients.

"The profit secured on the sale of 55 Spring Gardens will be reinvested into the business and reflects our continued growth strategy."

WHR and Berkeley Brown acted on behalf of Linder Myers LLP.

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