Nuveen Real Estate is selling its 25% stake in the St James Quarter mixed-use destination in Edinburgh, Scotland, to Unibail-Rodamco-Westfield (URW).
Listed retail property group URW is investing an unspecified sum to gain a minority shareholding in the asset, joining Dutch pension asset manager APG, which will retain a 75% stake.
APG acquired its 75% share in the shopping and leisure centre project in October 2016, a time when the project required an investment of £1bn (€1.14bn).
The St James Quarter is an 80,300sqm mixed-use development featuring 110 retail, leisure and dining units. It also includes 152 premium apartments, with 81 of the built-to-sell units already sold.
As part of the new partnership, URW will manage the asset, which is also scheduled to be rebranded as a Westfield destination in 2026.
Jean-Marie Tritant, CEO at URW, said the transaction also supports the group growth plan, “enabling us to expand our presence through a minority stake alongside APG, a strategic long-term partner”.
Tritant added: “Together, we will elevate the asset’s performance by leveraging our retail operations and media expertise, as well as bringing the globally recognised Westfield brand to the destination.”
Robert-Jan Foortse, head of real estate Europe at APG, said: “Since its opening in 2021, St James Quarter has consistently strengthened its operational performance, establishing itself among the UK’s leading shopping destinations.
“The acquisition marks an exciting new chapter for the centre which will benefit from URW’s operational expertise and innovative services, as well as for our collaboration, building on the success of our partnership at Westfield Stratford City.”
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