Landsec Completes £516 Million Acquisition of Metrocentre
Landsec acquired a 100% stake in the Gateshead shopping centre for £516 million net cash. The purchase carries a 7.9% in-place net rental income yield, which Landsec expects to increase by about 40 basis points through operational integration efficiencies.
Landsec has completed its acquisition of a 100% stake in the Metrocentre shopping centre in Gateshead for a net cash consideration of £516 million. The transaction reflects an in-place net rental income yield of 7.9%, which the company expects to increase by approximately 40 basis points through operational integration efficiencies. Landsec anticipates the acquisition will deliver a low double-digit unlevered internal rate of return. Following this purchase, major retail destinations now account for approximately 46% of the company's annualised rental income, with Landsec owning three of the top ten and eight of the top thirty shopping centres in the UK.