Westfield sells 50 per cent of Stratford City for £872m

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Westfield is selling a stake in its Stratford City development in London to Dutch and Canadian pension funds for £872m.

The Australian shopping-centre owner has agreed to sell a 50 per cent stake in the retail arm of the development, which is being built next to the site of the 2012 Olympic Games, to Dutch pension fund APG and the Canada Pension Plan Investment Board.

The deal, due to be completed in late 2011, follows Westfield's move to spin off half of its Australian and New Zealand property assets to create a new $12bn fund that will not have offshore and development risks. The Stratford deal will give the Australian group a £150m profit on the development,that Westfield plans to reinvest in other projects.