Manchester Arena has been sold as part of a £436 million ($612 million) deal between two real estate investment firms. According to regulatory filings, the 21,000 seater is the largest part of a portfolio sale to Secure Income REIT from Mansford LLP, which purchased the arena for £82 million ($115) in 2013.
The arena is the location of a May 22, 2017 terror attack that killed 22 and hurt over 100 at an Ariana Grande concert. A civic memorial service and vigil will take place on the first anniversary of the bombing, officials announced late last month.
The eight-acre site is comprised of the arena, 160,000 sq. ft. office and leisure space and a 1,000-space parking garage. The entire facility, which sits atop Manchester Victoria station, brings in £5.75 million ($8 million) net income annually and is managed by SMG, which holds a 27-year lease. An estimated 1 million people visit the arena annually.
Tenants of the property’s office space include Serco, Manchester City Council, Unison, JC Decaux and go-karting operator Teamsport; with a combined passing rent of £2.71 million ($3.8 million) per annum.
Other elements of the acquisition include 17 Travelodge hotels, 18 Stonegate Pubs and the Brewery at Chiswell Street, described as the largest catered events space in the city of London. A second part of the acquisition includes 59 hotels let to Travelodge.