Martley offloads £25m Mailbox car park
Deal follows last year’s refinancing of the Birmingham mixed-used asset
3 Mar 2025 | 16:15 | London | by Guy Montague-Jones
- What Martley Capital has sold the car park at Birmingham’s Mailbox for more than £25m
- Why Deal releases capital following £90m refinancing of the mixed-used asset last year
- What next Q-Park-operated car park offers secure income, with long leasing running for more than 28 years without a break
Martley Capital Group has sold the 687-space car park at the Mailbox in Birmingham for more than £25m, Green Street News can reveal.
The Q-Park-operated car park – which benefits from a long lease running for more than 28 years without a break – was put up for sale through JLL at the end of last year for just over £25m, reflecting a yield of 7.69%. The sales price achieved is thought to be in line with the asking price.
The deal releases capital following a £90m refinancing last summer that salvaged the mixed-use property from distress.
A new £65m senior facility from Leumi was put in place alongside a loan note instrument, enabling incumbent lender Deutsche Bank to recoup the majority of its outstanding debt. Investors in the loan note included Tokoro Capital and existing shareholders of Mailbox REIT.
The refinancing deal put a stop to the sale of the building, which totals 682,000 sq ft and includes 200,000 sq ft of offices, 133,000 sq ft of retail, 69,000 sq ft of restaurants, and a three-screen cinema. It had been put up for sale through JLL at the end of 2022, following a covenant breach.
Mailbox REIT was the first asset to be listed on on IPSX in May 2021, but the specialist exchange went into wind-down last September and it was subsequently determined that an alternative listing would not be pursued.
The asset has performed well operationally, but its valuation has been hit by rising interest rates and concern over the outlook for the office market. Click here to read the full article.
