Landsec completes £516m Metrocentre acquisition
Landsec has completed the acquisition of Metrocentre in Gateshead for a net cash consideration of £516m.
The sale completed following a competitive bidding process, reflecting Metrocentre’s position as a dominant shopping centre destination in the UK.
Benefitting from a £60m investment programme led by Sovereign Centros, Metrocentre welcomes over 16 million visitors annually. The scheme has a 95% occupancy rate and generates annual retail sales of approximately £650m.
With 1.86 million sq ft of lettable floorspace, Metrocentre is home to 282 stores, with tenants including Apple, Sephora, Zara, M&S, Bershka, Stradivarius, Next, Lego, Primark, JD Sports, and the incoming Lefties.
The acquisition also includes an adjacent retail park, which covers 0.2 million sq ft of retail space across 15 units.
Martin Healy, chair of Metrocentre, said: “The successful completion of the sale represents an important milestone for Metrocentre and a positive outcome for its stakeholders. It also reflects the centre’s position as a major UK retail and leisure destination, recognising the progress and investment made in recent years.
“Landsec has an excellent track record of owning and operating many of the country’s leading retail and leisure destinations, with the scale, experience and long-term commitment to build on Metrocentre’s strong momentum and support its future success.
“We would like to thank everyone who has contributed to Metrocentre’s development over the last six years, particularly our centre team, tenants, customers and noteholders, whose support has ensured that the centre continues to thrive and is well positioned for the future.”