Rockspring Property Investment Managers have placed the Eastgate Shopping Centre in Gloucester on the market. Rockspring is currently in the process of offloading seven of its shopping malls around the country, in a process that could raise £275 million for future investment opportunities.
Although “no decision has yet been taken on the sales strategy for these assets”, it is believed that the firm would be willing to sell the centres individually as a means of boosting local economic growth and gain higher returns on the initial investments.
Leader of Gloucester city council, Councillor Paul James, believes that a new owner could benefit both the centre itself and the surrounding area.
He says; “The council is the freeholder of the centre and we derive an income from it.
“That money helps us to provide services and keep council tax down so we very much have a vested interest in the successful future of the Eastgate Shopping Centre.
“Ideally, the council would like an owner who will continue to invest in the centre and offer big retail names the incentive to open shops here in the city.”
Although the shopping centre enjoys a strong footfall level, it is believed that the council would be looking for the new owner to invest in a refurbishment programme to modernise and create more space within Eastgate. This call has been backed up by retail tenants such as David Macey, manager of gift shop Magical Story, who believes that further investment would be a good way to attract new business.
One of the most contentious issues for Eastgate in recent months has been the Eastgate Market which is located within the centre itself. Home to a number of stall holders and independent businesses, local residents have backed calls for the market to be refurbished in a programme which would see it integrated fully into centre operations as a means of attracting higher footfall for retailers in the vicinity.
Farmhouse deli stall owner, Darren Payne, says; “We are still unsure about the future of the market so it would be great if whoever took on the centre could see the market as part of its future.
“If the market stays it would be nice to see some investment as it is an integral part of the shopping centre.”
With Rockspring currently revising its selling strategy and making several important decisions about the eventual buyer’s criteria, it may be some time before stall holders get the answers they are seeking. However, this sale could well be a chance for Eastgate to bring in new tenants which would increase the centre’s appeal for consumers in the surrounding area.
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