Legal & General Property is under offer to buy Jackson Square shopping centre in Bishop’s Stortford, Hertfordshire, from Davis Ross’ property empire, Kandahar.
The fund manager is understood to be in advanced discussions to buy the 250,000 sq ft scheme at close to the asking price of £58m – a 6.25% yield.
RREEF was a frontrunner, with other parties including PRUPIM and Aberdeen Asset Management also thought to be in the running.
Jackson Square is one of more than 30 assets, comprising shopping centres, high street blocks and leisure properties, which are held in the Kandahar Group, a joint venture between Ross and Morgan Stanley Real Estate.
The sale is part of a review of the group that Ross and Lloyds Banking Group, lender to Kandahar, are undertaking. Further individual assets are expected to be sold or placed into separate joint ventures.
Kandahar sold its 425,000 sq ft Drake Circus shopping centre in Plymouth, Devon, to British Land in January for £240m.
Jones Lang LaSalle is advising Kandahar.
All parties declined to comment.
annabel.dixon@estatesgazette.com
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