The Canterbury City Council has concluded the purchase of half of the city’s Whitefriars shopping centre in a deal worth £79 mln (€94 mln).
The local authority, which bought the stake from Canada Pension Plan Investment Board, will hold the property in a joint venture with the other 50% owner, asset manager TH Real Estate.
Spanning 600,000 sq ft (55,740 m2), Whitefriars Shopping Centre is a dominant regional retail destination in Canterbury.
The City Council expects the financial return on the investment will have a positive impact on its financial position at a time when it needs to find £5.8 mln of savings over the next four years. 'The deal has significant benefits for everybody, from local taxpayers to all those with a specific interest in Whitefriars,' said Council Leader Councillor Simon Cook.
CPPIB appointed CBRE earlier this year to sell the 50% stake for £85 mln. It originally acquired the scheme in 2007 together with Henderson Global Investors for £253 mln from UK REIT Land Securities.
