Insurer Legal & General has snapped up Dundee’s Overgate shopping centre in a £125.3 million deal.
The move comes six months after owners Land Securities put the mall on the market as it continue to sell off major assets in order to recycle capital for new investment opportunities.
The strategy saw the firm – which also owns the Kingsway West Retail Park in Dundee – dispose of the Bon Accord and St Nicholas Centre’s in Aberdeen for £94m last autumn.
The deal for Legal & General to buy the Overgate was first predicted in the business section of The Courierin December.
Legal & General Property said it had exchanged contracts to acquire the centre from Land Securities for £125.3 million through its second UK Property Income Fund.
The Overgate has 70 shop units extending to 420,000 sq ft of retail space and two multi-storey car parks with more than 1,000 spaces.
Charlie Walker, director of business development and fund manager of UK PIF II, said: “This investment delivers a strong income profile as a core asset, whilst also providing additional opportunities to drive footfall and alter the tenant mix to enhance the rental tone across the scheme.”
For more on this story pick up a copy of The Courier on Tuesday.