Overgate shopping centre in Dundee has been purchased by property company Land Securities, it was announced today.
In a deal worth £141 million, representing a yield of close to 6.9 per cent, Lend Lease Overgate Partnership has relinquished ownership of the site.
Opened in 2000, Overgate attracts over 14 million visitors to its 420,000 sq ft of retail space each year.
Richard Akers, Managing Director of Land Securities, said: “Acquiring Overgate in Dundee provides a strong income return with the scope to further improve the centre by enhancing the tenant mix and bringing new retailers to Dundee.”
Land Securities has an extensive retail portfolio including major shopping centres like White Rose Centre in Leeds, Cabot Circus in Bristol and St David’s in Cardiff.
Overgate has more than 60 retail units and a multi-storey car park with over 1,000 spaces.
Existing retail tenants at the centre include New Look, River Island, French Connection, Office, WHSmith and Argos, whilst its anchor stores are Debenhams, Primark and Next.
Akers, added: “We have identified good tenant demand for this modern centre, which dominates the retail offer in Dundee.
“It will add further value to our portfolio as we strengthen the centre’s appeal as a key shopping and leisure destination in Scotland.”