GIC Real Estate, the Singaporean government's investment arm, has agreed to purchase a 40% of the MetroCentre mall located in Gateshead, north-east England, from Liberty International's unit Capital Shopping Centres (CSC). The transaction value comes to £426 mln (EUR 623 mln), valuing MetroCentre at some £1.065 bn. Under the deal, CSC will continue managing the centre.
GIC Real Estate, the Singaporean government's investment arm, has agreed to purchase a 40% of the MetroCentre mall located in Gateshead, north-east England, from Liberty International's unit Capital Shopping Centres (CSC). The transaction value comes to £426 mln (EUR 623 mln), valuing MetroCentre at some £1.065 bn. Under the deal, CSC will continue managing the centre.
With 339 shops and 167,225 m2, MetroCentre is the UK's number one regional shopping centre and Europe's largest covered retail and leisure centre. Opened in 1986, the complex was acquired in 1995 by CSC, which extended and renovated it over the years. It features about 340 retail units, three department stores, cafes and restaurants, as well as a bowling alley, a multi-screen cinema and 9,000 parking spaces. MetroCentre reaches an estimated 24 million visitors every year.
The deal is the second significant stake that GIC has taken in a UK regional shopping centre. In 2005 it bought a 17.5% stake in the Bluewater shopping centre in Kent. Morgan Stanley advised Liberty International, while Cushman & Wakefield acted for GIC.
Robert Finch, chairman of Liberty International, said: 'The proceeds of this transaction will enable Liberty International to continue to expand its overall business which includes a £1bn development programme.'
