This latest acquisition pegs Bluewater’s worth at around £686million, mirroring its 2021 valuation but a stark drop from the £2.2billion it was once valued at back in 2014
Land Securities, also known as Landsec, has taken control of Bluewater shopping centre after agreeing a £120m deal to increase its stake.
The FTSE 100 commercial property giant has bought an additional 17.5% stake from GIC, Singapore’s sovereign wealth fund, increasing its hold in the retail destination, near Dartford, to 66.25%. This latest acquisition pegs Bluewater’s worth at around £686million, mirroring its 2021 valuation but a stark drop from the £2.2billion it was once valued at back in 2014.
Landsec is hoping for a £10.3million annual boost to its net rental income from this deal, judging by last year’s figures. Spanning over 240 acres and home to more than 300 shops, eateries, and entertainment spots, Bluewater has been a shopper’s haven since its doors opened in 1999. Despite the retail sector facing a challenging economic climate, Landsec is doubling down with this move, signalling a strategy to pour more into top-tier retail destinations.
Earlier this year, they offloaded their entire hotel portfolio to Ares Management, bringing in about £400million. Bruce Findlay, Landsec’s retail managing director, said: “This transaction underscores our ability to continue to create value through prime investments in scarce, major retail destinations with attractive return profiles.”
“Bluewater is one of the UK’s top retail destinations and a key part of our strategy to further build our relationships with key brands.” Landsec’s shares saw a slight dip on Tuesday, dropping 0.1% to 629p.