Landsec, which operates Liverpool ONE and Bluewater, has exchanged contracts to acquire a 100 per cent stake in Metrocentre, Gateshead for £516m.
The property investment firm takes over ownership of Newcastle’s Metrocentre from Tynehawk Holdings (Jersey) Limited.
Metrocentre, which is currently 95 per cent occupied, attracts over 16 million visitors annually generating retail sales of around £650m.
It covers 1.86 million sq ft of floorspace and features retail giants including M&S, Next and Primark, as well as Apple, Lego and Sephora.
“Metrocentre offers the scale, relevance and quality of catchment where demand from brands is highest, as they focus on fewer, bigger, better stores in the strongest locations,” said Landsec CEO Mark Allan.
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It was reported in June that Frasers Group was considering a £500m offer for the Metrocentre.
Agents from real estate firm Knight Frank were drafted in to run a sale process. This latest deal is expected to close on 09 October.
Allan added: “Metrocentre is exactly the type of destination where our market-leading platform can unlock further income and value growth.
“Our track record in this is proven, with occupancy across our existing major retail portfolio up to a two-decade high, rental uplifts on relettings and renewals having doubled to 15 per cent, and like for like income growth of 5.5 per cent over the full year to March 2026.”
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