Grosvenor has sold its 23% stake in Liverpool ONE, one of the UK’s best performing retail and leisure destinations, to Landsec.
Designed and built by Grosvenor, the destination was developed in response to Liverpool City Council’s ambitions to revive the city’s fortunes through what was, at the time, the country’s largest retail-led regeneration scheme.
Since opening in 2008, Liverpool ONE has played a major role in the physical, economic and social renaissance of Liverpool. Grosvenor’s commitment to creating a new city centre of exceptional quality, combined with continual innovation and investment in the management of the destination has seen it attract over 400 million visits, support the local economy through new jobs and investment, and become the destination of choice for British and international brands.
Recent performance during a period of significant economic uncertainty underlines these long-term trends. At the end of Q3 2024, occupancy at Liverpool ONE stood at 96.5% vs a UK shopping centre average of 86% and footfall was up 3.2% year on year (UK benchmark: 0.9%); total sales for the year to the end of October were also up 15% (UK benchmark: -2%).
With a strategic commitment to owning and managing major retail destinations in the UK, as well as to sustainability and strong communities, Landsec’s involvement in Liverpool ONE is exciting for the next chapter of an asset that has been at the forefront of retail innovation and performance over the last 15 years. As part of the transaction, Landsec will also assume the management of the retail and leisure destination from Grosvenor in February 2025.
Commenting, James Raynor, CEO, Grosvenor Property UK, said: “Liverpool ONE is a phenomenal destination and we’re incredibly proud of what we’ve accomplished with and for the City over the last 25 years. It’s not only one of the most remarkable regeneration stories, re-defining what long-term investment and partnership can achieve, it continues to be one of the UK’s most successful retail and leisure destinations. And, under the unified ownership and management of Landsec, we know it will continue to thrive.
“Looking ahead, we have ambitious plans to grow and diversify the business and will reinvest the proceeds from the sale in our core portfolio including our 10-year programme of investment in London and residential debt business, which has supported the delivery of 3,370 homes in just two years.”
Mark Allan, chief executive officer, Landsec, added:“I am delighted that we have added another top-ten centre with a highly attractive return profile to our unique portfolio of best-in-class retail destinations. Liverpool ONE already has a great line-up of brands in a thriving location and we look forward to building on this with our leading operating platform to further add to Liverpool ONE’s exciting growth story.”
Liverpool City Council leader, Cllr Liam Robinson, said:“Liverpool ONE has been one of the UK’s great retail success stories of the 21st century, and its arrival and growth has been transformational for Liverpool’s visitor economy and appeal – the vision of Grosvenor working with the Council since 1996 has truly been delivered. I’d like to thank Grosvenor for their stewardship and partnership over the past few decades, their legacy to Liverpool is unquestionable. I welcome Landsec’s acquisition of the Liverpool ONE estate, it represents a great opportunity for a new chapter and new investment for our city centre; I look forward to meeting the owners to discuss their plans.”
