Wed Oct 25, 2017 6:36 pm
Shamelessly ripped from Property Week today. Could this eventually see someone who is willing to develop the empty sites in the bay if Aviva are walking away?
Aviva Investors has brought an office campus in Cardiff to the market with a price tag of £86.4m.
It is understood that Aviva Life and Pensions has instructed Knight Frank to sell seven office buildings and two development sites within the Cardiff Waterside business park, which stands in the Welsh capital’s bay.
The Cardiff Waterside portfolio comprises around 400,000 sq ft of office space across seven buildings, as well as a 1,200-lot multi-storey car park and two development sites.
It is currently 90% let to more than 30 tenants and includes the UK headquarters of Dutch credit insurance company Atradius. Other occupiers are KPMG, ITV, Regus, Acuity Legal and Abel & Imray.
The two development sites total more than three acres and have planning consent in place for the development of an extra 360,000 sq ft of grade A office space.
However, two further development sites as well as the site for a new a £15m 210-room Premier Inn hotel, that are also owned by Aviva, are not part of the sale.
The scheme has been widely marketed and has already generated “good interest and a few offers”, a person with knowledge of the deal told Property Week.
“This scheme is unique in Cardiff and presents an active opportunity for asset management purposes,” the person said.
Cardiff Waterside was acquired as a direct investment by Aviva Life and Pensions for £80m in 2012 from a limited partnership between different funds within Aviva Investors.
Aviva Investors, via Knight Frank, currently act as asset and investment advisors to Aviva Life and Pensions.
Waterside totals 14 acres and is part of the 30-year Cardiff Bay regeneration, which was recently hailed a “major success” by former Secretary of State for Wales Lord Crickhowell.
Once a wasteland of derelict docks, the area was regenerated under the Government’s Urban Development Programme.
In 1987 the Cardiff Bay Development Corporation was formed with the aim to regenerate 2700 acres of dockland.
Landmark buildings such as the National Welsh Assembly, the City Hall and the National Museum of Wales were built on place.