Quintain sells off Wembley Arena

 

From Quintain Ltd

 Quintain, the developer and asset manager behind Wembley Park, confirms that it has completed the sale of the OVO Arena Wembley to Intermediate Capital Group (ICG). This forms part of Quintain’s strategy to focus activities going forward on build to rent residential across development and asset management, neighbourhood retail and placemaking.

Built in 1934, the OVO Arena Wembley (formerly Wembley Arena) has played host to some of the world’s most famous artists, including David Bowie, Queen, Abba, Britney Spears and Beyonce. It is the venue where artists love to stand on stage and shout “Hello, Wembley!”.

Purchased by Quintain in 2002 as part of an initial acquisition of 44 acres of land in Wembley Park, the OVO Arena Wembley was transformed by Quintain in 2006 with a £36m refurbishment which, along with the new stadium, cemented Wembley’s position as one of the premier UK locations for live music and entertainment.

Built as the “Empire Pool” in 1934 to host swimming events for the Empire Games, the Arena has also hosted events for both the 1948 and 2012 Olympics. Today the Arena typically hosts 120 events a year across sport, music, comedy and entertainment.

With a capacity of 12,500, the Arena is the second largest in London and is operated by ASM Global, the leading entertainment venue operator, with a portfolio of over 350 venues worldwide.

James Saunders, CEO of Quintain, said: “As we build out the Wembley Park estate, with 3,000 more homes still to deliver, we continue to focus our efforts on our Build to Rent ambition, neighbourhood retail and placemaking. Naturally, we will work with ICG and ASM to ensure that the world-famous OVO Arena Wembley will remain an important part of this world class destination and neighbourhood.”

Andreas Papadolambakis of ICG Real Estate, said: “We’re delighted to be the new custodians of the iconic OVO Arena and to be partnering with ASM, a globally renowned arena operator. The investment represents ICG Real Estate’s first in the content and live entertainment space, a sector which is benefitting from structural tailwinds. As music consumption has pivoted towards streaming, touring has become increasingly important for artists whilst consumers are dedicating an increasing portion of their disposable income to experiences over material goods. We expect this to be the first of a programme of investments in the European content and live entertainment market.”

Chris Bray, Executive VP Europe of ASM Global, said: “Quintain have been excellent landlords for the OVO Arena for the last 20 years and we thank them for their stewardship. We look forward to working with new owners, ICG, to enhance Britain’s most iconic arena and continue to bring world class acts and artists to this world-famous entertainment district.”

Lone Star's £3bn sale of Quintain (developer of Wembley Park) shelved

Published on UK Homesearch LINK

US private equity group Lone Star has shelved the £3bn sale of its UK residential property company Quintain, blaming the worsening coronavirus situation. 

Formal bids for Quintain, which owns the Wembley Park development site, were due to be submitted later this month with the company expected to fetch about £3bn, said a person briefed on the deal.

A sale at that price would make the deal the largest ever in the UK’s rented housing sector. But the sales process was aborted after a dramatic spike in coronavirus cases prompted a third national lockdown.

“Lone Star has decided to terminate discussions because it’s crazy trying to do this deal now with the backdrop of Covid. It’s a huge asset, with a lot of financing involved,” said the person briefed on the deal.

The end of the sales process was first reported by React news. 

The 85-acre Wembley Park site in north-west London has planning permission for 8,000 rental homes, with 1,500 of those already built. As well as paying for the existing properties and the land, prospective buyers of Quintain would need to fund any further development on the site.

The company had attracted interest from three bidders: German fund manager Patrizia; Li Ka-shing-backed investment manager Long Harbour; and a consortium of investors behind Get Living, another major rental housing developer which owns the former Olympic Village in east London, said two people with knowledge of the process. 

But Lone Star pulled the deal after deciding it might complete a smoother transaction and for a better price once the pandemic had eased, said a banker advising one of the prospective bidders.

The banker said: “January 2021 is not the ideal time to execute a £3bn transaction in London which is based on a bunch of assumptions about [who will rent] homes, the future of retail and when Wembley Stadium might reopen. There are a raft of things which it would be difficult for a lender or an investor to take a view on . . . I can completely see why they would wait for a brighter day.”

It is the second time in a little over two years that the private equity firm has had a potential sale fade as it neared the finish line. In 2018, Lone Star came close to a sale to Get Living’s backers — Delancey, Oxford Properties, Qatari Diar and the Dutch pension fund APG — but the parties could not agree on a price. 

Lone Star, which took Quintain private in 2015 for £1bn including debt, will now continue to invest in the estate, developing the remainder of the planned apartments.

“Lone Star looks forward to continuing to work with the Quintain team to deliver on the next development phase for Wembley Park — with an another 850 units already under construction,” said the company.

 

Barham Library Table Top Sale Saturday

Wembley traffic jams for residents today - any jam tomorrow?

Following a discussion on  the Next Door forum LINK Gary Holmyard has given me permission to adapt his comments for a Guest Post on Wembley Matters. Publication does not imply approval of all Gary's comments but is aimed at stimulating wider debate.
 
Yesterday’s news was all about Wembley Stadium potentially being sold to Shahid Khan as the home ground for the Jacksonville Jaguars.... I for one can only think that this is going to cause continual chaos on our roads and surrounding infrastructure, increased littering, traffic jams, while the coffers of the stadium owners increase... residents never have a say, we bought our houses and chose to live here when it was a National Stadium with occasional matches and concerts, now we are subjected to weekly or bi-weekly games disrupting our every day lives and movements.

Had I chosen to live near White Hart Lane or Highbury, then I would have no cause to complain, but I didn’t... and when the old twin towers stadium was demolished to make way for the new national stadium it was, in essence, a like-for-like replacement. This will be permanent, on top of the 1,000’s of flats being built I cannot help but believe that this is total overkill, and the companies, council and developers are milking every square inch of ground to make money for themselves and not caring about the people who actually have to live here.

My family have been resident for over 20 years… way before any total redevelopment plans were even on the table, so we did not move to the area to make money in the hope that our property would rise in value, and could move on to somewhere else. We moved here because we liked the area and it’s location for getting into town / access to motorways etc. We have spent that time working hard on our house and garden getting it to how we want, and to move now would be an enormous upheaval, and would involve finding new schools, work place consideration etc, so yes, I accept that property prices have increased, but do not agree that the only solution is to move.

Wembley still could be a wonderful place to live, if only developers and councils had long term thinking of how it all comes together. I am all for bring trade into an area, being an ex-restaurateur in Wembley Park myself, I am aware more than most as to the additional revenue match days can bring, however, I am also aware that regular clientele were turned off from travelling as they cannot park anywhere unless they want to fork out £10, £20 or £30.

My biggest concern is not so much how many flats are being built, or matches that are played, but the actual infrastructure that is not being updated / adapted to suit the additional thousands of new residents coming into the area, on top of weekly / bi-weekly matches being held at the stadium. On a normal Saturday afternoons the Harrow Road from the A406 towards Wembley is one continual queue due to matches being played and / or LDO shoppers, locals trying to go home of course compounds this!

To relieve some of the queues, it would make sense to lift the time restrictions on the bus lanes to peak times only to allow traffic to flow that more easily, plus encourage people to return to the LDO instead of saying ‘never again’! I am all for one for traffic control but with another 5,000 homes planned between now and 2020 (from wembleypark.com) this problem is going to manifest into complete meltdown. With 1,000’s of new jobs created, PLUS 1,000’s of new residents (11,500 total flats envisaged if I am not mistaken in total) it does not take long to work out the additional traffic and people movements each and every day, on top of those visiting the stadium, LDO and SSE arena.

We as locals are used to avoid peak times on event days, but it could potentially be that every day could be like an event day with the amount of additional people coming / leaving the area each day. If each flat houses 3-4 people, that is 34-46,000 people, if a quarter of those use a car, that is almost 10,000 additional car movements each day. If half go to school or work, that is around 20,000 people movements each day. This is every day, and excludes LDO shoppers and employees! I have also noticed the re-timing of the traffic lights since the LED types have been installed these have compounded the problem! A total re-think of the Harrow Road, and A406 trunk roads needs to be carried out. I know parking restrictions for event days are in place to encourage people to use public transport but we are not talking about event days, but each and every day.

SOLUTION: Have Park and Ride schemes been considered? Bicester village and many others have such a scheme, which eliminates traffic problems in the village yet gets shoppers into the shopping areas quickly and safely. The two high rises at the Harrow Road / A406 junction have been empty for many years and is the first thing that new shoppers see when visiting Wembley! If these two monstrosities were two multi storey car parks with a Park ‘n Ride scheme (with a minimal cost to the customer) it would eliminate the vast majority of congestion on the Harrow Road at a stroke! The scheme would be open for shoppers as well as football / concert goers and would enable traffic to disperse EASILY and QUICKLY at the end of a match or concert instead of all the road closures and coned re-directions that currently happens and make traffic dispersal ten times worse!

If people paid less for this scheme than parking in the car parks nearer to the “event” then this would encourage people to use it. I am sure that there would be many companies willing to sponsor the scheme also thus brining in even more revenue! I am confident that not only would this suggestion work, it would greatly improve the A406/Harrow Rd junction as well as encouraging people to return! I have thought about this idea for a long time and would like to think that someone somewhere within the Council would have put it forward for consideration, something needs to be done, and this is something that could work! However, this was turned down by the Council….

If Mr Shahid Khan can afford £900mill for the stadium, I am sure he could afford to get this scheme or something similar underway to encourage more to attend his stadium, and gain greater respect from the locals and his team’s supporters! This is my opinion, and as this is an open forum, I can suggest solutions, who knows, someone’s may be realised as ideal, in which case this would all be worth it! ‘My views’ only people! I do not expect everyone to agree, but it’s good to vent off sometimes!

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Now Wembley Central development up for sale

St Modwen has announced that it is putting its Wembley Central development up for sale. This follows Quintain's £700m sale of Wembley Park to US private finance firm Lone Star.

The Wembley Central sale is much smaller with an  expected price in excess of £37.5m for a project with 118,000 square feet of retail space, a 24 hr car park and Travel Lodge hotel. 273 new housing units have been built at Wembley Central.

The sale is being handled by Kitchen LaFrenais Morgan LINK