Land Securities has acquired a significant stake in Liverpool One shopping centre, a move reflecting their commitment to enhancing physical retail spaces.
- The real estate firm purchased a 92% interest in Liverpool One, following its strategy to allocate approximately £600 million on property acquisitions.
- Liverpool One is now among the seven top shopping centres in the UK under Landsec’s ownership or control.
- The acquisition included a 69% stake from Abu Dhabi Investment Authority and a 23% share from Grosvenor.
- As digital retail dominates, many landlords are hesitant to invest in large malls, but Landsec continues to focus on prime locations.
Land Securities has made a strategic move in the retail real estate market with its acquisition of a 92% stake in the Liverpool One shopping centre, valued at £490 million. This acquisition aligns with Landsec’s broader commitment to investing in prime brick-and-mortar retail spaces, aiming to make the most of the top shopping destinations in the UK.
The firm had recently earmarked close to £600 million for acquiring more assets, a bold step considering the trend of many landlords avoiding large mall purchases over the past few years. This decision reflects a clear focus on enhancing their portfolio with high-performing retail locations that offer substantial foot traffic and brand presence.
According to Mark Allan, CEO of Landsec, “The top 1 per cent of the UK’s shopping destinations provide brands with access to 30 per cent of all in-store retail spend.” This insight underscores Landsec’s strategy of concentrating efforts on select, high-potential locations rather than broad acquisition across the board.
Liverpool One, before this acquisition, was owned primarily by a subsidiary of Abu Dhabi Investment Authority and the property group Grosvenor. Now part of Landsec’s growing real estate portfolio, it joins six other major shopping centres in the UK under their control.
While many in the industry lean towards digital and smaller retail investments, Landsec’s focus remains on acquiring physical spaces in prime locations. This acquisition comes at a time when other retail groups, like Frasers Group, are also expanding their shopping centre holdings, indicating an ongoing potential in the sector.
This acquisition reinforces Landsec’s strategic investment in premier UK retail locations amidst changing market trends.
