Saudi-based Arbah Capital has announced the acquisition of the landmark Sauchiehall building in the Golden Z part of Glasgow city centre for about £60 million ($75.9 million).
The Sauchiehall building in the Scottish city is among the most prominent retail blocks on Sauchiehall Street and represents a core long term investment, the company said.
Glasgow is the fourth largest city in the UK and the city centre ranks as the second most important retail district in the UK after the West End of London, based on CACI ratings, the company added.
The investment property comprises a mixed use of 309,000 square feet of lower ground, ground and six upper floors, with a multi-storey car park above the property.
The retail complex has major brand anchors such as Primark, TK Maxx, PureGym, Sports Direct, Superdrug and WH Smith.
Mahmood Al Kooheji, CEO of Arbah Capital, said: “The Sauchiehall acquisition focuses on attaining value at a time of uncertainty in the UK, buying a core asset in a prime location at an attractive cap rate.
"Glasgow City Council is planning to invest £115 million into the retail district via The Avenues Concept to transform the retail visitor experience, by offering continuous footways, enhanced street lighting, overall improved landscapes, additional segregated cycling routes, and an ultimate shopping destination. This will serve to enhance property values in Sauchiehall Street."
The Sauchiehall building was purchased from the US investment firm KKR, and Arbah was advised in transaction management by 90North.
Arbah Capital is licensed by the Capital Market Authority in Saudi Arabia and is headquartered in Dammam with a paid-up capital of SR220 million.For all the latest business news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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