Supermarket purchase for local authority. Mark Girling.

Local Government, Retail & Leisure, Asset management, Development Consultancy, Investment, Lease advisory

North Somerset Council

This project was worked on by the following people, working in partnership from across our business…

  • Chris Keen Partner, Commercial Agency and Advisory
  • Kevin White Head of Education Sector Partner, Advisory

Key information

As part of Montagu Evans’ appointment to advise North Somerset Council on the assembly of an income generative commercial property investment portfolio, we undertook a thorough review of key strategic asset ownerships in their Borough. Being aware the owner’s desire to sell the North Worle district centre, anchored upon and let on an overriding lease to Sainsburys we approached them directly.

The asset comprises a relatively underdeveloped site of circa 11 acres at the centre of a major Council housebuilding project and offered a number of potential value-add asset management and development opportunities in concert with Sainsburys.

Montagu Evans negotiated a purchase price which provided a secure net initial yield of circa. 6%, hence generating a strong, sustainable surplus income stream for the Council’s front line services and securing potential asset management profits, as well as participating in the strengthening catchment as a result of Council housing projects.

We tendered the legal advice and technical survey contracts on behalf of the Council and oversaw the reporting and due diligence process, leading up to the gaining of full Council consent for the purchase. Integral to the due diligence was our market leading supermarket lease advisory team, who underwrote the strong, sustainable trading profile of the store and the tenant’s likely future intentions.


Retail Park and Residential Alternative Use. Mark Girling AND Julian Stephenson.

Housing, Retail & Leisure, Agency, Investment, Lease advisory, Planning

Aberdeen Standard Investments

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