MDSR Investment’s deal to acquire Festival Place shopping centre in Basingstoke for £99.1 million, has been named Sale/Acquisition of the Year for the South East of England in the CoStar Impact Awards, handed out by a panel of independent judges.
After entering receivership in October 2023, the long leasehold interest for the centre was acquired by MDSR from receivers BDO at a net initial yield of 10.40%, with a 228‑year remaining leasehold term.
The 1.13 million-square-foot asset was brought to market following a two-year receiver and asset manager-led refurbishment. This included more than 80 leasing deals, with 24 new brands and leisure operators including Superbowl and Hans Buffet. During this time it was asset managed by BDO and Sovereign Centros.
As part of this programme, the asset secured new debt terms, aided by improved liquidity and recovery of retail-led debt markets.
The deal faced challenges, particularly with regard to due‑diligence including legacy lease structures, multi‑party coordination and receivership‑related operational obstacles.
This marked a re-entry into the sector for active investor MDSR which had last invested in a shopping centre in September 2020. At sale the centre had around 180 retail and leisure operators, with 77% occupancy.
Estama has been retained as asset manager.
About the project: MDSR Investments acquired the site from BDO for £99.10 million. Savills acted on the deal, which included a net operational income of around £11.665 million. The centre was 80% occupied by floor area at the time of sale, with major tenants including Next, H&M, Apple, Superdrug, Sports Direct, TK Maxx, Nando's and Vue.
What the judges said: Hannah McNamara, Co-Founder, P-Three said: “I selected Basingstoke because, while capital is returning to dominant shopping centres, this is a town where confidence really matters. It may not sit at the top of every expanding occupier’s target list, but it is absolutely central to Basingstoke’s daily life and economy. Securing new ownership with a clear plan is significant for the town. This acquisition isn’t about riding a retail rebound. It’s about active asset management.
“The scale of the centre means the owner can genuinely influence tenant mix, reposition underperforming space and reshape the customer experience. In a market like this, improvement doesn’t happen passively, it requires intent, capital and belief. For me, this deal stands out because of what it enables. It gives the centre a chance to evolve, strengthen its relevance and better serve its catchment. That confidence in a large, regionally important asset is what makes it worthy of recognition.”
Simon Ward, managing director, Propernomics said: “The sale of this shopping centre entailed a comprehensive, two-year turnaround strategy to add value. The work was extensive and revived the fortunes of a town centre asset of continuing importance to the community.”
Eamonn D'Arcy, professor of International Real Estate, University of Reading said: “The transaction was essential to the attractiveness of Basingstoke town centre as a viable retail destination. Given the continuing problems with high street retailing the wider economic impact on Basingstoke is likely to be significant.”
Jonathan Mannings founding director, Rare Consulting UK said: “Basingstoke & Deane now plays host to approaching 82,000 homes within its jurisdiction with a substantial increase in this number which will result from the planned completion of the Manydown scheme which will deliver up to a further 2,000 homes in the Borough. Therefore despite its receivership status in 2023, the acquisition of Festival Place, [...] making it not only the largest 100% (non-stake) open-market transaction in 2025 but also the largest receivership disposal ever by lot size was a shrewd move with the increase in demand for retail outlets in the town almost guaranteed by the planned growth of the borough's population.
“Through the skilful asset management and repositioning of the centre, it was possible to attract a new influx of high profile retailers keen to secure a presence in the town reinforcing its position as one of the most attractive regional centres in the South East.”
They made it happen: Mark Garmon-Jones, director, UK investment, Savills; Toby Ogilvie Smals, director – retail investment, Savills; Lottie Thomas, associate, investment, Savills; Lorna McGhee, graduate surveyor, Savills; Joe Hankin, associate director, retail capital markets, CBRE, George Elliot, director, AEW UK REIT; Sandor Biro, managing director, MDSR Investments.
