Spa shopping centre sold in £20m deal

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DROITWICH'S St Andrew's Shopping Centre has been sold in a deal worth almost £20million, The Standard can reveal.

Salmon Harvester Opportunity Fund acquired the 157,000 sq foot site for £19.8million from Kandahar Real Estate in a deal completed this week.

The £150million fund was formed by Salmon Harvester Properties and NFU Mutual and aims to acquire retail sites across the country worth between £10million and £25million.

The centre lies at the heart of Droitwich's town centre and boasts a 30,000 sq ft Morrisons supermarket as well as 37 other retail units with parking for 385 cars in two ground level car parks.

The fund stressed all the current leases would be respected and they hope to attract more big names into the town to join the likes of Wilkinson, Argos, Boots, WH Smith and M and Co.

Matthew Meaden, fund manager, Salmon Harvester Opportunity Fund, said: "St Andrews Square is the dominant shopping centre in Droitwich Spa, an affluent spa town with excellent demographics."

A potential revamp of the Covercroft car park area of the site failed to materialise despite ambitious plans being unveiled by the previous owners more than three years ago.

Kandahar revealed plans in September 2008 which included a much-larger Morrisons store, shops, a cinema, bowling alley, restaurants and a 500 space, two-storey car park to serve the new development.

Mr Meaden added: "There are a number of opportunities for active asset management and the potential for extending the retail and leisure offer through the regeneration of the Covercroft area within the site."

* What do you think? Which retailers would you like to see in the St Andrew's Shopping Centre? Would you support new plans to revamp the Covercroft car park? E-mail editor@droitwichstandard.co.uk or send us a tweet @DroitStand.

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