SMG has secured a new long term management lease on the Manchester Evening News Arena – its flagship venue outside the United States.
The lease will see SMG operate the building – one of the top three arenas in the world based on concert ticket sales – for the next 25 years at least.
The announcement comes as Development Securities PLC, the UK's leading property development and investment company, announced it had acquired the Victoria Exchange complex, which includes the arena, in a deal worth £62.2 million.
SMG, which already operates the arena as part of its operational portfolio of nine entertainment venues across Europe, has its European Head Office at the M.E.N. Arena.
John Sutherland, managing director and senior vice president of SMG Europe, said, “We are delighted to be able to work with Development Securities on the long term provision of a world-class venue for Manchester. In its 15 years the arena has brought virtually every major touring artist in the world to the city, providing entertainment for almost 20 million people and major economic benefits to Manchester. The new deal allows us to plan for the future investment and success of the venue in a way in which would have been impossible as we neared the end of the original 20-year management contract.”
Matthew Weiner, executive director of Development securities PLC, said, “The M.E.N. Arena is an iconic, world class venue and represents a major added value opportunity for us. We are delighted to have secured an immediate restructuring of the SMG lease, which enhances both the value and positioning of the asset.
“We are confident that we can make subsequent value enhancing decisions, working closely with SMG, that further raise the arena's profile and status in this new phase of its existence.”