Member Article

Moorfield and Oaktree complete £41m Barbirolli Square acquisition

Moorfield Real Estate Fund III and Oaktree Capital Management have completed a £41m acquisition of 100 Barbirolli Square, Manchester.

The firms jointly bought the building from Scottish Widows Investment Partnership, who sold the property of behalf of Barbirolli Square Ltd Partnership.

Marc Gilbard from Moorfield commented: “The acquisition is the first for Moorfield Real Estate Fund III, which held its first close in April this year. The purchase of this high quality office scheme in the heart of Manchester boosts our regional workspace portfolio.

“100 Barbirolli Square provides us with an opportunity to engage with high quality tenants, improve income profiles and enhance value by proactive asset management.”

The building is located in Manchester city centre, and has a footprint of 140,000 sq ft which is let out to DLA Piper, Ernst & Young and Addleshaw Goddard.

Moorfield and Oaktree invested in the property as part of the Barbirolli Square development, which is a prime office space scheme in the heart of Manchester that started in 1997 and has restaurant and car parking facilities.

This acquisition marks the first joint venture between the two funds, with Moorfield taking on the asset management role.

David Snelgrove from Oaktree Capital Management said: “We are excited to have made our first direct real estate investment in Manchester, which is consistent with our UK real estate strategy of acquiring real estate assets.

“100 Barbirolli Square is a landmark asset in Manchester’s City Centre and should benefit from ongoing re-generation of the immediate vicinity. We look forward to working with Moorfield to implement the business plan.”

James McLean, investment director for SWIP’s Real Estate team, added:“The disposal of 100 Barbirolli Square allows the partners of the Barbirolli Square Limited Partnership to pursue their individual Fund strategies and reconfigure their portfolios accordingly.

“SWIP’s Real Estate team continues to look to identify opportunities throughout the UK and is actively looking to acquire assets in the second half of 2013.”

This was posted in Bdaily's Members' News section by Miranda Dobson .