British Land Co., the U.K.’s second-largest real estate investment trust by market value, agreed to buy 50 percent of a shopping center in the English city of Bath for 101 million pounds ($157 million) to gain tenants including Apple Inc. and Hennes & Mauritz AB.
British Land is acquiring the stake in the Southgate mall from Multi Southgate (LP) Ltd., according to a statement today. Aviva Investors owns the rest of the property, which has 430,000 square feet (40,000 square meters) of space and is 93 percent rented out.
British Land in July said an improvement in the economy caused fewer of its retail tenants to go into administration, a U.K. form of bankruptcy protection, in the second quarter. The Southgate shopping center has 55 retail units, 25,000 square feet of office buildings and Bath’s biggest parking lot, British Land said in today’s statement.
The transaction is expected to be completed by the end of the month, the REIT said. The first part of the mall was completed in 2009 and the final construction phase ended this year.