Simon to go on €435m designer outlet spending spree
Simon Property Group and McArthurGlen have formed a joint venture, in which Simon will invest €435m in designer outlet centres.
Simon will acquire an ownership interest in six properties across Austria, Italy, the Netherlands, the UK and Canada.
Source: Daves Portfolio
US-based Simon tried to access the European market in 2010 by launching an ultimately unsuccessful takeover bid for Capital Shopping Centres, which ended with CSC agreeing to issue shares amounting to 20% of the company to John Whittaker’s Peel Group, in exchange for the Trafford Centre in Manchester.
In March last year Simon bought a 28.7% stake in European shopping centre developer Klépierre from BNP Paribas for €1.5bn, becoming its biggest shareholder.
The deal with McArthurGlen further emphasises its determination to make an impact in Europe.
The designer outlets that will form part of the deal are still being finalised. McArthurGlen owns 21 centres across eight countries including seven in the UK, in Ashford (pictured), Bridgend, Cheshire Oaks, Livingstone, Normanton, Swindon and York.