Iconic UK shopping centre for sale 'with £500m price tag'
The Metrocentre in Gateshead has been put up for sale by its current owners, Sovereign Centros, with reports linking Frasers Group to a multi-million pound bid for the centre.
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Coreena Ford Business writer, Chronicle and Journal, Graeme Whitfield Editor of Journal and Northern Agenda and Jayne Thomson News Editor
21:07, 08 Jun 2026
The Metrocentre shopping centre has been placed on the market - and a well-known figure in the North East is being touted as a potential buyer.
Frasers Group, the retail empire headed by former Newcastle United owner Mike Ashley, is rumoured to be preparing a multi-million pound offer for the venue.
The Gateshead shopping destination supports thousands of jobs and welcomes millions of visitors annually. It has been managed by Sovereign Centros since 2020 following the collapse of previous owners Intu - which operated major shopping centres nationwide, including a half share in Newcastle's Eldon Square.
Reports suggest the centre is being marketed through property agent Knight Frank, carrying an asking price of approximately £500m.
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The sale process begins two months after the Metrocentre and Gateshead Council unveiled proposals for a "city within a city" named Metro Riverside. The scheme for land alongside the River Tyne would deliver more than 4,500 homes, while also holding the potential to create 5,000 jobs.
The Metrocentre has also witnessed several new store launches in recent weeks, including P Louise and Lovisa.
A spokesperson for Metrocentre commented: "Metrocentre's sustained strong performance, combined with increasing investor interest from investors in major retail and leisure destinations, has led Metrocentre to move forward with a sale process to support the next phase of its development."
"A targeted investment programme of over £60m since late 2020, led by Sovereign Centros, has transformed the centre - attracting strong occupancy across a diversified tenancy mix including exciting new brands and upgrades and expansions for existing operators. This helped drive footfall to reach over 16m for the first time since the pandemic, up 5.14% year-on-year, alongside continued income growth," reports Chronicle Live.
"It is early days in this process, so the team is fully focussed on ensuring the centre continues to thrive, as one of Europe's most extensive retail and leisure destinations, by supporting its tenants, delighting its customers, and driving growth in the North East region."
The Metrocentre first opened its doors 40 years ago on the site of a former power station. It was developed by Sir John Hall's Cameron Hall Developments, with financial backing from the Church Commissioners of England.
Boasting hundreds of shops and restaurants, alongside a cinema, leisure facilities and a health centre, it is widely regarded as the UK's second largest shopping centre, surpassed only by the Westfield centre in London.
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Industry publication reports have linked Frasers Group to a £500m bid for the Metrocentre. Property giant Landsec, which manages a substantial real estate portfolio across London and other parts of the UK, is also widely expected to submit a competing offer.
