Yorkshire's tallest building Bridgewater Place to float on property stock exchange

Yorkshire's tallest building is to float on the IPSX property stock exchange, it has been announced.

Friday, 14th May 2021, 9:11 am
Updated Friday, 14th May 2021, 9:14 am

Bridgewater Place in Leeds will be given an IPO by its owners M7 Real Estate.

M7 acquired Bridgwater Place in November for £84.5m, taking ownership of the skyscrapper which offers 234,000 sq ft of office space as well as 200 apartments.

Bridgewater is 90 per cent let and includes EY, Eversheds and DWF amongst its tenants.

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Shares will be offered in the building.

Upon acquiring Bridgewater, M7 said it was targeting an IPO on IPSX.

The move follows confirmation that Mailbox REIT, which M7 owns 70 per cent of, is to IPO with 84,850,000 Ordinary Shares issued with a nominal value of 10p each.

The company has raised £25,850,000 from the issue of 25,850,000 Ordinary Shares at a price of £1.00 per share representing circa 30.5 per cent. of the issued share capital on admission.

Richard Croft, executive chairman of M7 Real Estate, said: "M7 is incredibly proud to be part of this landmark occasion in our sector and building on this momentum we are now advancing our plans to bring Bridgewater Place House in Leeds to market as the second IPO on IPSX in the coming months. Bridgewater Place House is another flagship regional UK office building, being the tallest building in Yorkshire and offering income returns underpinned by strong tenants such as EY and multinational law firms DWF and Eversheds.

"The Mailbox offers long dated income streams, underpinned by very low-risk high-profile tenants, as well as significant income and value enhancement potential. The investment is further supported by the strengthening fundamentals of the Birmingham market, which is attracting growing occupier demand with a number of major blue-chip companies moving into the city, as seen most recently with Goldman Sachs International's announcement of its intention to open a technology centre there. With an improving outlook, an expected economic recovery and by advancing our strategic plans for Mailbox REIT, we are well positioned to deliver for investors as a publicly traded company on IPSX."

IPSX is a new Regulated Investment Exchange regulated by the FCA and is the world's first such exchange dedicated to the initial public offering and secondary market trading of institutional grade commercial real estate assets. IPSX Wholesale is a market exclusively for institutional and professional investors and for issuers with an asset or assets that have a minimum market value in excess of £50 million.