Meticulous due diligence, a keen focus on value and shrewd negotiation led to our long-term investment in a shopping centre anchored by large national brands.
Situated on a four-acre site in the heart of Bridgwater, Somerset, the 90,000 sq ft Angel Place centre was purchased pre-auction from a vendor that we recognised was looking for a quick deal.
Angel Place was opened in 1986 and is home to a number of high street brands, with on-site parking for more than 400 vehicles.
The vendor bought the centre from the Mars pension fund in 2022 as part of a larger retail portfolio.
Our comprehensive research suggested real potential, if the right price could be negotiated.
Due diligence involved extensive data room work, scrutinising tenant leases, reviewing building reports and a detailed examination of local planning issues.
Data from recent lease agreements and the type of tenant being introduced indicated that the owner only had a short-term plan for the centre - and that there was a deal to be done.
Maritime bought the asset as a cash buy prior to auction, at a price that provides a 33 per cent yield.
The speed of the deal was aided by Maritime’s track record.
With more than £1.3 billion of property transacted by our team, the vendor was confident that we were negotiating in good faith and the deal would be completed efficiently, and agreed to cancel the planned auction.
Following the purchase our retail experts evaluated the tenant mix, aiming to curate the optimal combination of local traders and national retailers, which currently includes Iceland, Bonmarché, Peacocks, The Works and Card Factory.
Key to our investment decision was the news that thousands of jobs are set to be created at a new tech campus close to Bridgwater, which should lead to high-income workers spending money locally, and increased town centre footfall.
A £10m Government regeneration scheme is due to upgrade the pedestrianised area immediately outside Angel Place, delivering infill units to the undercroft, adding further value at no extra cost.
There is also potential for some residential development on the extensive town centre site, which also informed our projections of future value.
We have also positioned Angel Place as a community venue for Bridgwater, driving footfall through an inspiring partnership with a local arts organisation, giving them a pop-up venue and exhibition space in the centre for 12 months.
The early success of this investment has prompted more forays into retail, a sector in which we firmly believe there is ample opportunity for strong returns in the long term.
