M&G Real Estate has strengthened its position in The Mall Cribbs Causeway by acquiring its joint venture partner’s share. This move brings the Bristol shopping centre back under the stewardship of its original investors, highlighting M&G’s enduring commitment to the property.
The acquisition not only reaffirms the historical ties M&G has with The Mall but also sets the stage for future growth and development in the area. The strategic partnership with CBRE Sovereign Centros for asset management marks a significant step towards enhancing the shopping centre’s operations and appeal.
M&G Real Estate’s Strategic Move
M&G Real Estate has made a significant move by increasing its stake in The Mall Cribbs Causeway. This acquisition involved buying out its joint venture partner’s interest, although the financial details remain undisclosed. The investment ensures that The Mall returns to the hands of its original investors, reinforcing M&G Real Estate’s long-term commitment to the property.
In 1998, M&G Real Estate, alongside Baylis Estates, funded the construction of The Mall. This historical context highlights the longstanding relationship and vested interest M&G has in maintaining the shopping centre’s success. The deal covers not just The Mall but also adjacent retail and leisure holdings.
Operational Management and Expansion
M&G Real Estate has partnered with CBRE Sovereign Centros, a retail asset management firm, to oversee The Mall and its adjoining holdings. These holdings include Cribbs Venue leisure park, Cribbs Retail Park, and units 3a/b of Centaurus Retail Park, as well as nearby development sites. This comprehensive asset management plan aims to streamline operations and enhance the retail experience.
The appointment of CBRE Sovereign Centros as the operating partner underscores M&G Real Estate’s strategy to leverage professional expertise to optimise the value of its assets. The focus is on integrating retail and leisure spaces to create a cohesive environment that attracts visitors and tenants alike.
Growth in Tenants and Footfall
The Mall Cribbs Causeway boasts a near 100% occupancy rate, with 36 leasing transactions completed in 2023. This impressive leasing activity reflects the centre’s robust tenant demand and attractiveness. New additions to The Mall last year included high-profile brands such as Victoria’s Secret, Mango, Charles Tyrwhitt, and Greggs.
The momentum continued into this year, with Sweaty Betty and Castore joining the roster of tenants. Notably, Lego has announced plans to open a space at The Mall, signalling the centre’s ongoing appeal to major brands. Additionally, long-term tenants like H&M and River Island have committed to new 10-year leases and store refurbishments, demonstrating confidence in The Mall’s future prospects.
Footfall at The Mall grew by 8% in 2023, indicating a strong performance in attracting visitors. This uptick in foot traffic is attributed to the diverse mix of retailers and the frequent introduction of new stores, which keep the shopping experience fresh and engaging for consumers.
Significant Regional Developments
The increased investment in The Mall Cribbs Causeway comes at a time of notable regional development in Bristol. One such development is the opening of the new Wild Place Bristol Zoo, which is expected to draw significant visitor numbers to the area. Additionally, the redevelopment of Filton Airport is another major project underway, further bolstering the region’s attractiveness.
Such regional investments are poised to benefit The Mall by increasing its catchment area and enhancing overall visitor numbers. The synergy between these developments and The Mall’s offerings creates a compelling destination for both local residents and tourists from across Bristol, the South West, Wales, and the West Midlands.
M&G Real Estate’s Vision and Future Plans
Scott Linard, portfolio director at M&G Real Estate, expressed the company’s vision for The Mall, describing it as one of the UK’s most successful shopping centres. Linard emphasises the intention to continue building on the existing momentum, driven by the recent investments in and around Bristol.
With a focus on long-term sustainability and growth, M&G Real Estate plans to work closely with key stakeholders to ensure The Mall remains a premier shopping destination. This includes exploring opportunities for further expansion and enhancement of the retail and leisure mix, keeping pace with evolving consumer preferences.
The collaboration with time-tested companies like CBRE Sovereign Centros and the strategic vision articulated by M&G Real Estate’s leadership underline a proactive approach to asset management. By anticipating market trends and consumer needs, The Mall is well-positioned to maintain its status as a leading retail hub.
Letting Agents’ Role and Market Insights
Time Retail Partners and Cushman & Wakefield serve as the letting agents for The Mall. Their role is crucial in securing high-quality tenants and ensuring optimal occupancy levels. The expertise offered by these agents supports M&G Real Estate’s overarching strategy of maintaining a vibrant and diverse tenant mix.
The positive market response to The Mall’s offerings and the high demand for retail space underscore the centre’s strong position within the UK retail landscape. This aligns with M&G Real Estate’s goals of fostering a dynamic and attractive shopping environment.
The acquisition sees The Mall Cribbs Causeway returning to its original investors, a move that underscores M&G Real Estate’s commitment to the property. With strategic plans and professional partnerships in place, The Mall is well-positioned for continued success.
As Bristol undergoes significant regional developments, including the new zoo and airport projects, The Mall stands to benefit from increased visitor numbers and heightened regional interest. This promising outlook aligns with M&G Real Estate’s vision for long-term growth and sustainability.
