Victoria Warehouse on the block for £36.6m
Anchored by Academy Music Group, the neighbour to Manchester United’s Old Trafford has consent for a 200-key hotel and expansion of its event facilities.
A sale at the asking price of £36.6m would reflect a net initial yield of 8.75% and a low capital value of £121/sq ft.
Victoria Warehouse sits on Trafford Wharf Road, and is a 300,000 sq ft asset, made up of the east and west warehouses.
The western warehouse is anchored by Live Nation subsidiary Academy Music Group, trading as O2 Victoria Warehouse, on a 25-year lease dating from 2018. The venue accounts for 99% of the site’s rental income, which stands at just over £3.4m.
Following plans put forward by property manager Adam Geoffrey Management in 2024, approval was given by Trafford Council for a reworked version of the site’s redevelopment.
The consented revamp could provide more than 60,000 sq ft of conference facilities on vacant floors. Credit: Coda Studios
Swapping out office space from an earlier iteration, the proposals approved include the expansion of hotel accommodation at the site to 200 rooms, with a rooftop bar, along with a 180-space multi-storey car park and further corporate event space.
Architect Drinkwater worked up the original scheme, with Coda stepping in for the reworked proposals, which can be viewed on Trafford Council’s planning portal, reference 110695/FUL/23.
Carrick Real Estate is instructed on the sale of the asset for the private vendor. As set out in the particulars, the vacant upper floors are covered by a 12-month vendor rent, rates and service charge guarantee, making the asset fully income-producing from day one.
As set out by Carrick, the western warehouse accommodates the gig venue within its ground and first floors of the main warehouse, together with adjoining two-storey and single-storey event buildings and an external event area of 9,408 sq ft. The second and third floors are vacant.
The eastern warehouse provides corporate event space at basement level and corporate event space with a hotel reception at ground floor, occupied by VW Group together with the first floor. The second to fifth floors are vacant. A large-format digital advertising screen is located on the property.
