Shopping Centre Bridgend
Moorfields were appointed as Administrators over a 20-unit shopping centre located in Bridgend, South Wales.
The retail complex, valued at approximately £12 million, formed a key commercial hub within the local area but had been impacted by shifting retail trends and reduced consumer footfall. The property was subject to bank debt of £19 million, prompting the need for an administration strategy focused on stabilising income, improving occupancy, and achieving a strategic disposal.
Objectives
- Protect and enhance the value of the shopping centre through proactive asset management
- Maximise rental income through re-letting of vacant units and negotiation of new lease terms
- Strengthen tenant mix and occupancy to improve the investment profile
- Prepare the property for sale to an appropriate investor once stabilised
- Optimise recoveries for secured creditors through a well-timed disposal strategy
Moorfields’ Actions
- Engaged specialist retail asset managers to review occupancy levels, lease structures, and rental performance
- Implemented a focused lettings and lease renewal strategy, securing new tenants for vacant units
- Oversaw completion of a key new lease, increasing annual rental income from £570,000 to £620,000
- Maintained close coordination with managing agents to ensure operational continuity and tenant satisfaction
- Marketed and sold the shopping centre to a retail investor once income stabilisation had been achieved
Results
- Occupancy and income levels improved, enhancing the property’s overall investment appeal
- Annual rental income increased by £50,000, from £570,000 to £620,000 following successful lease completions
- The shopping centre was sold to a retail investor, securing a competitive market value
- Secured creditor recoveries were maximised, and the Administration was concluded efficiently
