CMS advises Landsec on £425.6m investment in MediaCity
4th November 2021, 11:39 am
International law firm CMS has advised Landsec on its acquisition of a 75% interest in MediaCity, Europe’s leading, digital, media and tech hub, for £425.6m. MediaCity was previously owned by a 50:50 JV between Legal & General and Peel L&P. Landsec will partner with Peel L&P who will retain a 25% stake and continue to serve as asset and development manager.
Situated in Salford, Greater Manchester, the 37-acre hub is the largest tech and media centre outside of London and is home to BBC North, ITV, The Hut Group, Kellogg’s and over 250 creative and tech businesses, as well as schools and universities. Each year, MediaCity produces 50,000 hours of content.
Phase one of the hub’s development was completed 10 years ago and comprises 1.48m sq ft across 11 buildings. Phase two has already seen the completion of two residential towers as well as an award-winning mixed-use commercial space. It has outline planning consent for an additional 1.6m sq ft, including both office and residential, bringing the total space for phase two to 2.3m sq ft.
John Cumpson, Head of Real Estate at CMS UK, comments: “We are delighted to have advised long-standing client Landsec on this transaction. This significant investment in Greater Manchester reflects the long-term income generation opportunities presented by mixed-use schemes across the UK’s regional cities. MediaCity has clear potential for expansion and growth, and we look forward to witnessing its continued success under Landsec and Peel’s partnership.”
Alex Peeke, Head of Legal at Landsec, comments: “The CMS team has played an integral role in helping us to successfully deliver this complex transaction. It was particularly useful to benefit from their local knowledge – thanks to the firm’s very experienced team in Manchester. We’re delighted with this outcome.”
The CMS team was led by John Cumpson, Victoria Henry and Mark Haywood, and included Laurence Isaac and Ellie Mends (FIRA); Chris Hallam, Catherine Gelder and David Young (Construction); Chris Bowes (Planning); Phil Anderson and Phil Nicklin (Tax); Dave Lawson, Erin Goodall, Jack Brigden and Rosalind Hill (Real Estate).