CUBE RE acquires Horsham Shopping Centre

CUBE RE (Cube) has acquired the long leasehold interest in Swan Walk shopping centre, Horsham’s principal retail provision, as part of its JV Hathaway Opportunity Fund (“HOF”). The dominant, South East shopping centre has been bought out of receivership from Knight Frank.

Comprising over 300,000 sq ft, Swan Walk is anchored by Marks & Spencer, Next, Boots, and H&M, along with a variety of other retail operators, including WH Smith, Sports Direct and Fat Face. The centre also houses c. 26,000 sq ft of office space which was recently let by Horsham District Council. This will be their new state-of-the-art council offices and the Council are due to take occupation early in the new year following a refurbishment of the space.  

Nic Lowry, Investment Director at Cube, says: “Swan Walk is a great addition to the Fund with an opportunity for us to push forward value add asset management initiatives, including ESG focused building improvements, tenant lease regears and look at the medium-term development potential.

“The centre sits within a growth area, and benefits from a supportive local authority which is committed to retaining Swan Walk as the focus for retailing in the area. There are also a host of major housing developments surrounding the town, bringing an influx of new residents, and shoppers to Swan Walk.”

Horsham is an affluent and attractive market town in West Sussex, 7 miles south-west of the major town of Crawley, 23 miles North of Brighton and 33 miles south of London.

David Erwin of Dunluce, who advised Cube on the purchase of Swan Walk, says: “It’s been a challenging journey for the shopping centre sector, with true value is in short supply. We were delighted to work with Cube and HOF in identifying Swan Walk as an exciting acquisition opportunity at a time when the sector is displaying positive signs of recovery in a town where the demographics are strong, retail supply is limited, the local authority are fully engaged, and where occupiers are thriving within the scheme.”

Cube RE has appointed Savills and Crickmay as letting agents for Swan Walk. Tandem Property has been appointed as Managing Agent for the centre.

Cube RE were advised by Dunluce on the acquisition. The vendor was advised by Knight Frank.