Landsec, owner of one of the UK’s leading retail and leisure portfolios, announces that it has exchanged contracts to acquire a 100% stake in Metrocentre, Gateshead, from Tynehawk Holdings (Jersey) Limited for a net cash consideration of £516 million (the “Acquisition”).*

Metrocentre is a top-10 shopping centre destination in the UK based on sales and attracts over 16 million visitors per annum. It is a high-quality, well-invested retail & leisure destination, generating retail sales of c. £650 million, with 282 stores across 1.86 million sq. ft. of lettable floorspace. The Acquisition includes an adjacent retail park, which covers 0.2 million sq. ft. of space across 15 units. Overall occupancy is 95%, with a 4.5-year average lease term and a very strong line-up of key international brands, including Apple, Sephora, Zara, M&S, Bershka, Stradivarius, Next, Lego, Primark, JD Sports and Lefties.

The Acquisition is in-line with Landsec’s strategy to invest a further £1bn in major retail assets and further expands Landsec’s market-leading platform. Following completion of the Acquisition, Landsec will own 3 of the top 10 and 8 of the UK’s top 30 shopping centres, with major retail destinations making up c. 46% of the Company’s annualised rental income.

The Acquisition is expected to be funded through an equity issue (the “Equity Issue”) and existing debt facilities. Further details of the proposed Equity Issue are detailed in a separate announcement.

Mark Allan, Chief Executive Officer of Landsec, commented: “Growing our investment in major retail destinations remains our highest conviction call.

“Our acquisition of Metrocentre represents a rare opportunity to obtain 100% control of a top-10 UK shopping centre. Metrocentre offers the scale, relevance and quality of catchment where demand from brands is highest, as they focus on fewer, bigger, better stores in the strongest locations. This established trend remains clear, with retail sales across our existing major retail platform up 26% since March 2022 vs 1% for the average UK market, and footfall continuing to gain market share.

“In this context, Metrocentre is exactly the type of destination where our market-leading platform can unlock further income and value growth. Our track-record in this is proven, with occupancy across our existing major retail portfolio up to a two-decade high, rental uplifts on relettings and renewals having doubled to 15%, and like for like income growth of 5.5% over the full year to March 2026.”

Completion of the Acquisition is conditional upon the dissolution of a legacy entity from the Intu Properties group which is expected to occur on 9th October 2026, and bondholder consent to the restructuring of the outstanding bonds of Metrocentre Finance PLC and to the Acquisition, each of which requires support from

75% of the bondholders. Tynehawk Holdings (Jersey) Limited has received confirmations from bondholders representing more than 80% of the bonds that they intend to support this restructuring and the Acquisition in the required bondholder solicitation process. Following this process, completion of the acquisition is expected to take place by the end of October.

*Headline price of £530million before agreed price reductions.