Hammerson Plc sold a 50% stake in the 17,000-square-meter Watermark development in Southampton, U.K., to Singaporean sovereign wealth fund and joint venture partner GIC for £48.5 million.

The £85 million development, which was launched earlier in December, is adjacent to the Westquay shopping center, and brings the total retail and leisure space at Westquay to more than 1 million square feet.

Watermark, which is 95% let, will generate an annual rental income of £5.5 million once fully leased.

Hammerson will continue to act as the asset manager for the Westquay center and receive a management fee from the joint venture. The stake sale is expected to be completed before the year comes to a close.