Merlin shareholders have approved the takeover of rival REIT Metrovacesa.

Merlin, which invests in offices, shopping centres and logistics, said it would become one of the largest diversified commercial REIT vehicles in Continental Europe.

Ismael Clemente, chief executive, said the deal “reinforces the leadership in offices, increases considerably the size of shopping centres and generates multiple opportunities of future growth through the synergies in revenues and expenses”.

Once the integration of Metrovacesa is complete, Merlin, created in 2014 as a SOCIMI (sociedades cotizadas de inversión en el mercado inmobiliario), will have €9.3bn in assets and annual gross rents of €450m.

Completion of the deal is due by the end of next month.

Shareholders in Merlin also approved the combination of Metrovacesa’s multifamily rented residential portfolio with Merlin subsidiary Testa Residencial.

The deal creates one of the leaders in Spain’s residential sector, with more than 4,700 units under management, and annual gross rents of €35m.

Merlin last year paid €1.8bn for listed rival Testa, a subsidiary of Spanish property company Sacyr.