Landsec on cusp of £500m+ Liverpool ONE deal
The investor is pushing to get a deal done before Christmas for the Abu Dhabi Investment Authority’s majority stake in the 42-acre retail complex as well as Grosvenor’s 23% stake, Place North West understands.
Landsec, which has been trying to become the majority owner of Liverpool ONE for some time, is understood to be close to completing the acquisition of 92% of the complex at a net initial yield of around 7%.
Talks between Landsec, ADIA, and Grosvenor are ongoing and at an advanced stage.
ADIA, which owns a 69% stake in the 1.6m sq ft shopping centre, was reported to have shelved the sale of its £350m stake earlier this year but talks with Landsec reopened recently.
The firm’s acquisition of Liverpool ONE would be seen as the end of an era by many if Grosvenor, which is widely praised for the transformational impact of the scheme, sells its stake.
Since opening in 2008, the complex has attracted 390m visitors and generated more than £4bn for the local economy.
Grosvenor declined to comment. Landsec and ADIA were approached for comment.
The deal would see Landsec add to its portfolio of shopping centres, which includes Bluewater in Kent, St David’s in Cardiff, and Trinity Leeds.
It also indicates a sharpening of the listed investor’s focus on the North West. In recent years Landsec has invested heavily in the region.
The firm acquired Mayfield developer U+I for £190m in 2021 to take control of the £1.4bn Manchester regeneration scheme and recently took full control of MediaCity after initially snapping up a 75% stake in the mixed-use Salford project for £425.6m.
Landsec has experience in the Liverpool retail market having previously owned St Johns Shopping Centre. The investor sold the 140,000 sq ft mall to InfraRed Capital Partners for £76.5m in 2012.
Had a feeling for a while that Grosvenor wanted out of Liverpool One as there didnt seem much enthusiasm to expand, especially as the opportunity to purchase the ex Police Headquarters site arose.
Hopefully LandSec are interested and may see the chance to develop with, say, a hotel, residential, and more retail.
By Anonymous
A clear indication of the confidence in Liverpool One and our great city. They will be able to build a greater consumer base due to the excellent demonstration of demolition of Bootle, St Helens, Birkenhead, Kirkby town shopping centres. What excellent foresight by their leading doolally councillors.
Bah Humbug.
By Anonymous