Hammerson in talks with Westfield owner over sale of Croydon project stake
Hammerson is in talks over the sale of its stake in a joint venture with Unibail-Rodamco-Westfield (URW) to redevelop The Whitgift shopping centre in Croydon, according to reports from Sky News.
This comes as the real estate investment trust (REIT) faces continuing pressure from its biggest shareholder to speed up asset sales and resume dividend payments.
Investment vehicle Lighthouse, which owns nearly 23% of the REIT, has tabled resolutions to appoint two new board members due to its discontent with Hammerson’s current strategy.
Two of Hammerson’s investors, Legal and General Investment Management (LGIM) and Schroders, backed the REIT’s calls to reject Lighthouse’s proposals along with its second largest shareholder APG.
If a deal with Westfield owner URW goes through, the cash raised would bring Hammerson closer to a £500m disposals target for the end of the year. The REIT has so far raised £340m through asset sales in the UK and Europe.