British Land has sold its stake in Sheffield’s Meadowhall shopping centre for £360 million, calling time on its ownership of the site after 25 years.
The group offloaded its 50% holding in the shopping centre to joint venture partner Norges Bank Investment Management – a deal it said is in line with its aim to shift away from covered shopping centres in favour of investing in retail parks.
British Land has owned the shopping centre since 1999, when it paid £1.07 billion for the retail destination, later selling half of its holding to form a joint venture.
The sale to Norges, together with the £7 million sale of some land by the joint venture earlier this year, valued the Meadowhall estate at £734 million.
British Land said the stake sale is set to complete in July. It will remain as asset manager to the shopping centre following the sale, it added.
CEO Simon Carter said: “We have had a successful partnership with Norges over many years and are delighted to continue to work alongside them as asset managers of the centre.
“Following the sale of Meadowhall, 93% of our portfolio is now in our preferred segments of retail parks, campuses and London urban logistics.”
The Meadowhall site is located on the outskirts of Sheffield and is home to shops including Marks & Spencer, Primark and Next, as well as a distribution centre, Premier Inn hotel and two plots of development land.