A £490m deal for the shopping centre was announced today
Liverpool ONE has new owners as a London-based property development and investment company has acquired a 92% stake in the shopping centre. Landsec announced on Tuesday (December 17) it has purchased a 69% majority stake from the Abu Dhabi Investment Authority (ADIA) as well as a 23% stake from Grosvenor, the Duke of Westminster’s property company which developed the site and has managed it since.
The overall deal came in at £490m, but a payment of £35m to ADIA will be deferred for two years. Landsec will now own and manage the shopping centre, which has been credited with transforming Liverpool city centre and leading a renaissance in its retail offering since opening in 2008.
About the deal, Landsec CEO Mark Allan said: “The top 1% of the UK’s shopping destinations provide brands with access to 30% of all in-store retail spend, which is why we continue to see brands focus on fewer, but bigger and better stores in the best locations. As such I am delighted that we have added another top-ten centre with a highly attractive return profile – meaning our unique portfolio now includes seven of the top 30 centres in the UK.
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“Liverpool ONE already has a great line-up of brands in a thriving location and we look forward to building on this with our leading operating platform to further add to its exciting growth story.”
Who are Landsec?
Founded in 1944, Landsec (formerly known as Land Securities) is the largest commercial property company in the UK. The company began with three houses in Kensington, London, before it pivoted to a focus on commercial sites in 1947.
It grew hugely in the second half of the 20th century and now trades on the London Stock Exchange, being found on the FTSE 100 Index. With a portfolio worth £10bn, Landsec owns and manages more than 24,000,000 sq ft of property, including office blocks, out of town retail parks and city centre shopping districts.
Among its assets are the iconic Piccadilly Lights at London’s Piccadilly Circus, Kent’s Bluewater shopping centre, Trinity shopping centre in Leeds, and One New Change – the shopping centre next to St Paul’s Cathedral in the city of London. Closer to home, Landsec has three major sites in Greater Manchester – Salford’s MediaCityUK, Parrswood Leisure Park and the Mayfield regeneration scheme.
On its website, Landsec describes its work as: “We build and invest in buildings, spaces and partnerships to create sustainable places, connect communities and realise potential. We’re shaping a better future by leading our industry on environmental and social sustainability while delivering value for our shareholders, great experiences for our guests and positive change for our communities.”
Landsec’s purchase of Liverpool ONE marks the end of an era for Grosvenor, which has been connected with the site ever since construction began in 2004. About the future for Liverpool ONE under new owners, James Raynor, CEO,of Grosvenor Property UK, said: “Liverpool ONE is a phenomenal destination and we’re incredibly proud of what we’ve accomplished with and for the city over the last 25 years.
“It’s not only one of the most remarkable regeneration stories, re-defining what long-term investment and partnership can achieve, it continues to be one of the UK’s most successful retail and leisure destinations. And, under the unified ownership and management of Landsec, we know it will continue to thrive.
“Looking ahead, we have ambitious plans to grow and diversify the business and we will reinvest the proceeds from the sale in our core portfolio including our 10-year programme of investment in London and residential debt business, which has supported the delivery of 3,370 homes in just 2 years.”
