Hammerson, a FTSE 250 property company, has acquired a 50 per cent stake in the Manchester Arndale shopping centre for £218m. This acquisition represents the firm's first significant external purchase in more than a decade, expanding its UK retail real estate portfolio.
The company's chief executive, Rob Wilkinson, praised Manchester, describing it as "one of Europe’s most dynamic and fastest-growing urban economies." He highlighted the city's strong demographics, connectivity, and its position as the largest retail catchment outside London. Manchester Arndale reportedly attracts over 45 million visitors annually.
To fund the acquisition, Hammerson launched a new £190m equity issue, with a segment of the offer made available to retail investors through Retailbook. The Manchester Arndale is noted as the largest shopping centre in Manchester and one of Europe's biggest, featuring approximately 1.4 million square feet of retail space.
Alongside the acquisition, Hammerson reported a five per cent growth in like-for-like rental income and its highest retail occupancy in seven years at 96 per cent. The company also upgraded its earnings forecasts following a three per cent rise in footfall during the first half of the year.