DUNDEE, SCOTLAND-Land Securities Group PLC, based in London, has purchased the largest shopping center here. The company bought the 420,000-square-foot Overgate shopping center for about $220 million from Lend Lease Group, based in Australia, at a yield of close to 6.9%.
The mall has more than 60 stores and is anchored by Debenhams, Primark and Next, as well as smaller but popular retailers as New Look, River Island and Office. The mall records about 14 million visitors per year.
Richard Akers, managing director for retail for Land Securities, said his company is prepared to invest in sprucing up the 10-year-old mall. “(The purchase) provides a strong income return with the scope to further improve the center, by enhancing the tenant mix and bringing new retailers to Dundee. We have identified good tenant demand for this modern center,” he said in a statement.
Cushman and Wakefield represented the buyer on the deal. Jones Lang LaSalle represented the seller, Lend Lease Overgate Partnership.
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