Landsec has announced that it has completed the acquisition of an additional 10% stake in the top 10 UK retail destination, Bluewater.

The real estate company’s £95m cash consideration represents a yield of 7.4%, based on the net rental income that its existing investment in the Kent shopping centre is generating.

The acquisition increases Landsec’s ownership in Bluewater to 74%, with the firm stating that it improves the “operational flexibility of its overall investment” while driving additional efficiency benefits.

In the five months to 31 August, retail sales in Bluewater have increased by 7.4%, while footfall rose by 3%, which is materially ahead of the UK national average of -1.7% and 0% respectively.

Landsec said this highlights the destination’s “strong appeal to key brands and underpins its attractive income growth prospects”.

Following the announcement, shares in Landsec increased by 1.14%.

---