Schroders secures Lidl deal at City Tower

Schroder Real Estate Investment (Schroders) has agreed terms to bring retail giant Lidl to City Tower in Manchester on a 25-year lease.

Lidl UK has submitted detailed plans to Manchester City Council for a 10,985 sq ft store at ground level with a further 7,900 sq ft of basement space.

The news signifies a further step in the continued evolution of Parker Street in the city centre.

The store will connect the former Poundworld to the unit currently occupied by Quality Save creating a double fronted entrance. Quality Save will vacate the premises in February 2019.

Subject to planning, the new supermarket will open in Spring 2019, adding to Lidl’s existing store portfolio of 720 and forming part of the company’s growth plans which will see it open up to 50 new stores a year.

Rob Cosslett Investment Manager at Schroders said:

“We are really pleased to announce Lidl as a future occupier at City Tower. This is part of our strategy for the continued improvement of the offering across the asset at all levels.

“This is a national, loved retailer which will only complement and enhance the existing offering. Lidl has a major expansion strategy focusing on prominent locations, so it is brilliant that City Tower has been recognised as a central and premier retail destination in Manchester.”

Lidl UK’s Regional Head of Property, Nick Harvey, commented:

“We are delighted to be opening a new store in Manchester, which marks another milestone in our ambitious store expansion programme. We’ve seen incredible demand for Lidl stores across the country and look forward to offering our quality products and incredible value to shoppers at City Tower.”

David Fox Co Head of Retail Agency at Colliers said:

“This letting to Lidl demonstrates Schroders commitment to providing a tenant mix targeting shopper’s needs in this key landmark location.”

City Tower is owned in a joint venture held between Schroder Real Estate Investment Trust, the actively managed UK REIT, Schroder UK Real Estate Fund and Immobilien Europa Direkt.

Schroders were represented by Colliers International and Savills, Lidl by Rapleys.