Hammerson completes £156m Brent Cross acquisition
Hammerson has completed its acquisition of Brent Cross, purchasing the remaining units of the Greater London shopping centre for £156m.
The real estate investment trust has acquired 95% of the units in the Abrdn UK Shopping Centre Trust (SCUT), which holds the 59% of Brent Cross not already owned by Hammerson.
The group said the acquisition price represented a 6% discount to the December 2024 book value, and reflected a net initial yield of 8.6%. Combined with Hammerson’s existing stake, its interest in Brent Cross is now 97%.
Hammerson has also made an offer to acquire all remaining SCUT units on the same terms as those already acquired.
The acquisition comes as Hammerson releases a trading update for 2025, a period during which it has welcomed over 50 million visitors to its destinations.
In the year to 16 May, the group has exchanged on 93 leases, representing 424,000 sq ft of space and £15.5m of headline rent. During the first quarter, year-on-year occupancy within Hammerson’s estate increased by 70 basis points to 94%.
Regarding future income, Hammerson said that long-term deals represent 91% of its portfolio by value, and the weighted average unexpired lease term to break is 5.4 years – adding £76m of rent in the year-to-date. The group said its pipeline remains strong, with over £25m in solicitor’s hands and in advanced negotiations.
Rita-Rose Gagne, CEO of Hammerson, said: “We have welcomed over 50 million visitors to our destinations so far in 2025 and have had an excellent start to the year across all aspects of our business. We’ve continued to execute our growth strategy and delivered strong operational momentum, with another period of record leasing, increased year-on-year occupancy, investment and consolidation in our assets.
“Brent Cross is an iconic destination with a loyal and strong catchment. The acquisition substantially consolidates our control and economic interest in line with our strategy to recycle capital into our landmark assets at higher yields and more attractive risk-adjusted returns.”