Landsec buys Liverpool One shopping centre for £490m
Property giant Landsec has bought a controlling stake of 92 per cent in Liverpool’s biggest shopping destination, Liverpool One, as it looks to build its retail portfolio.
It bought the stakes of the Abu Dhabi Investment Authority (Adia), which owned 69 per cent, and Grosvenor, which owned 23 per cent, for £490m.
The deal has been ongoing for months, with Adia pulling out of a £350m deal to sell its stake in Liverpool One to Landsec earlier this year.
Landsec’s retail portfolio now includes seven of the top 30 centres in the UK, it said. Others include Trinity Leeds and Bluewater in Stone, Kent.
Landsec CEO Mark Allan said that purchase was an opportunity for the firm to build on a trend to high-quality physical retail spaces.
“The top one per cent of the UK’s shopping destinations provide brands with access to 30 per cent of all in-store retail spend, which is why we continue to see brands focus on fewer, but bigger and better stores in the best locations.
“As such I am delighted that we have added another top-ten centre with a highly attractive return profile,” he said.
Earlier this year, Landsec swung back to a profit after a rebound in occupancy and rental income in London, again noting a particular trend from brands to fewer, bigger and better stores, with “significant upsizes and lettings” from leading brands such as Primark, Pull&Bear, Bershka, Sephora and JD Sports.
Grosvenor CEO James Raynor said: “[Liverpool one is] not only one of the most remarkable regeneration stories, re-defining what long-term investment and partnership can achieve, it continues to be one of the UK’s most successful retail and leisure destinations.
“And, under the unified ownership and management of Landsec, we know it will continue to thrive.”