12/1/2010 £37M boost to Downing’s expansion plans

Property group Downing has announced it is in a strong position to expand its portfolio in 2010 after completing the £37.65m sale of Broadcasting Place in Leeds.

Aviva Plc has acquired the 111,000 sq ft commercial scheme, which is entirely let to Leeds Metropolitan University on a 22-year lease, from the Liverpool-based company. The deal represents an initial yield of 5.85%.

The move is a further boost for Downing, following the £32.5m sale of the first phase of its Downing Plaza scheme in Newcastle. Downing sold the 100,000 sq ft building, which has been pre-let by Newcastle University Business School, in November 2009 to Merchant Place Corporate Finance.

Last month Downing also secured Liverpool’s largest ever commercial letting when the UK Border Agency (UKBA) took 220,000 sq ft at The Capital building in the heart of the city’s commercial district.

Paul Houghton, development director at Downing, said: “This strategic disposal marks the culmination of a very fruitful three months for Downing. It will allow us to build on the success of the UKBA letting and the sale of Downing Plaza phase one, to move forward in 2010.

“There is no doubt that this will be another tough year for the industry. However, the successful conclusion of these deals means we are in a strong position to take advantage of the significant opportunities presented by changing market conditions.”

Located on Woodhouse Lane and designed by Stirling Prize-winning architects Feilden Clegg Bradley, Broadcasting Place was completed in July 2009.

Downing has retained ownership and management of the student accommodation element of the scheme – the 23-storey Broadcasting Tower which contains 241 student residences.


Downing is Liverpool’s largest commercial landlord and a major mixed-use developer specialising in the education sector. The company was one of the first developers to move the concept of housing for education away from the old ‘halls of residence’ model into secure, city centre student villages.