TIAA Henderson Real Estate and Land Securities are swapping retail properties in the UK.
Contracts have been exchanged, the companies said, on 50% stakes in the Buchanan Galleries in Glasgow and Princesshay Shopping Centre in Exeter.
Land Securities will sell its 50% stake in Princesshay shopping centre and surrounding properties in Exeter to TH Real Estate, for £128m (€162.5m), and simultaneously buy TH Real Estate’s 50% stake in Buchanan Galleries, Glasgow, for £137.5m.
TIAA Henderson Real Estate, on behalf of its UK Shopping Centre Fund, said it has consequently formed a partnership with The Crown Estate, following its purchase of the Princesshay stake.
The Crown Estate will take on asset management of Princesshay on behalf of the joint venture.
Stephen Wicks, manager of the UK Shopping Centre Fund, said the swap of Glasgow and Exeter was part of a rebalance of the fund’s portfolio.
He said: “It better aligns the regional balance of the fund, in addition to the development activity across the fund portfolio.
“We remain committed to Glasgow, with exposure to the city across the TH Real Estate UK portfolio.”
The 54,720sqm Princesshay, developed by Land Securities in 2007, is let to tenants including Hollister, Reiss, Zara and Crew Clothing, as well as restaurants including Byron, Carluccio’s, Strada and Wagamama.
