Fri, 02 Sep 2022 | ADMINISTRATION
Aberdeen’s Bon Accord shopping centre will be put up for sale, after its owners fell into administration. The Guernsey-based owners – Aberdeen Retail 1 Limited and Aberdeen Retail 2 Limited – were placed into administration after the shopping centre encountered “unsustainable cash flow problems”.
The business has suffered as a result of the ongoing impact of COVID-19, growing retail competition and rising operational costs. Azets partners James Fennessey, Blair Milne, Colin Haig and Matthew Richards have been appointed as joint administrators.
The joint administrators confirmed that the Bon Accord and its operating companies will continue to trade while a buyer is sought for the centre and its assets. James Fennessey commented that the sale offered a "very strong brand name and awareness" and that the joint administrators were “keen to try and find a buyer promptly”.
Built in 1990, the Bon Accord shopping centre extends to two main buildings on Aberdeen’s George Street and Union Street. The centre holds 72 retail units across 460,000 sq ft and three floors, with two owner-operated car parks on the centre’s north and south sides providing 1,400 car parking spaces.
Period buildings located on George Street, Gallowgate, Loch Street and Upper Kirkgate, provide an additional 90,000 sq ft of retail and ancillary space, as well as 6,300 sq ft of office space. Prior to the COVID-19 pandemic, the centre’s average annual footfall was 15 million visitors.
Azets said: “A diverse range of retail, hospitality and business tenants are based in the Bon Accord shopping centre and include a wide range of national high street retailers, specialist shops, restaurants, cafés and administrative businesses."
Azets restructuring partner and joint administrator James Fennessey added: “The Bon Accord Shopping Centre and the St Nicholas Centre, which merged with the Bon Accord in 2020, are long-established and retail centres with a very strong brand name and awareness across the north of Scotland.”
“They have consistently attracted and retained a wide range of quality retail tenants over the years, and regularly draw hundreds of thousands of visitors every year. The contribution of the Bon Accord to the economy of the north east is significant and the centre is as much a social hub and focal point for the city as it is a retail centre.”
“We will now quickly stabilise the trading position and wish to reassure tenants, shoppers and stakeholders that it is very much business as usual. Interested parties are asked to contact the selling agents, Cushman & Wakefield, as soon as possible as we are keen to try and find a buyer promptly.”
Read more about the impact of COVID-19 on the retail commercial property market.
Click here to view the UK's latest distressed businesses.
View recent UK administrations.
Supplies new and used motor vehicles, stocking an extensive range of cars to suit the budget requirements of a broad customer demographic. Regularly stocks a variety of prestigious brands, including Audi, BMW, Ford, Jaguar, Mercedes, Peugeot and Niss...
LEASEHOLD
An opportunity to acquire this fantastic garden centre set in approximately 1.25 acres which was established in 1977 and boasts an enviable reputation within the area. The owners are now seeking to take a well-earned retirement. Potential for younger...
FREEHOLD
The business benefits from a glowing online reputation, having been established for over 30 years, there is a significant amount of goodwill attached, with returning customers from within the town, and further afield. As well as a physical presence,...
LEASEHOLD
|
30
|
|
Sep
|
Administrators seek buyer for pie maker’s manufacturing sites and other assets | ADMINISTRATION
Administrators from FRP are seeking a buyer for a longstandi...
|
29
|
|
Sep
|
Wetherspoons to sell 32 pubs as costs rise | COMMERCIAL PROPERTY
Pub chain JD Wetherspoon has announced that it will sell 32 ...
|
28
|
|
Sep
|
Assets to be sold after collapse of black plastics recycling firm | ADMINISTRATION
Administrators are seeking to sell the assets and intellectu...
Sign up to receive our acquisition alert emails to get your FREE guide
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources