Zavvigroup, the entertainment products retailer that started life as Virgin Megastores, has left behind its former home near Manchester Airport in favour of a unit at Winsford Industrial Estate after Matt Moulding’s online retail conglomerate sold the company.
Part of THG between 2009 and July this year, Zavvi has snapped up Custodian Property Income REIT’s 100,000 sq ft Cheshire as it embarks on a new chapter.
Zavvi has signed a 10-year lease with a break option after five years.
Leigh Amery, director at Zavvigroup, said: “The office and warehouse space provide the perfect platform to support growth expectations of the Zavvigroup businesses moving forward, whilst aligning nicely with our ESG strategy.
Amery also thanked the teams at law firms Greene & Greene and Gateley Legal for “the rapid turnaround…supporting the efficient transition away from the THG ICON facility previously occupied”.
Custodian acquired the building for £5.4m in 2016 at which point it was occupied by fashion retailer H&M.
Following H&M’s departure, Gerald Eve was appointed to oversee the refurbishment of the building, which was constructed in 2004.
This comprised of removing three levels of mezzanine and racking, as well as the installation of EV charging, and PV solar panels.
Javed Sattar, director at Custodian Capital, said: “The refurbishment is in line with our ESG strategy, to improve our buildings for a more sustainable future and this has resulted in securing a tenant that aligns with our strategy.”
The project took six months to complete and wrapped up earlier this year. Gerald Eve was retained to secure a new tenant for the refurbished unit.
“This transaction highlights how, despite uncertainty in the market, a quality product can still transact quickly,” said Jason Print, partner at Gerald Eve.
“The lack of Grade A space over 100,000 sq ft in the North West means occupiers are incentivised to act quickly when the right product becomes available.”