Rochdale Exchange Shopping Centre has this week been placed on the market by Co-operative Insurance Services (CIS). The development contains 270,000 sq ft of retail space, an 850 space car park, Rochdale’s market hall and, additionally, an office unit called Octagon House – all of which combined bring in an annual income of almost £2 million in rents.
It is hardly surprising that an offer over £19.5 million price tag is attached, given the potential for investors to make a large return on their initial venture.
The brochure released as advertisement for the sale claims that, although chains such as HMV and GAME were forced to abandon their units due to administration, the Exchange has “continued to attract retailers in recent years.”
It continues; “The Exchange forms prime pitch within Rochdale, dominating the retail offer in the town and making it the location of choice for retailers.
“The scheme has a loyal customer base, providing a value-led, mass market offer with retailers including Boots, River Island, B&M Bargains, W H Smith, Superdrug and Poundland.”
Furthermore, it highlights the consistency of the site’s footfall figures, pointing out that 6.6 million consumers passed through the doors of the centre in 2012.
With proper modernisation and an advancement of the site’s technological capabilities there is a real chance here for an investor to see excellent returns within a few years.
However, it would be wise to consider the fact that a new rival will be opening its doors in coming years. Demolition work has just begun for a £100 million, 300,000 sq ft shopping and leisure development in the town centre which is expected to offer a cinema, 500 space car park and 80 room hotel along with the restaurants and shopping facilities already available at the Exchange.
