An asset management company has bought Barking’s Vicarage Field shopping centre for an off-market fee of £35million.

The 156,000 sq ft mall, home to the likes of Argos, Subway and Poundland was acquired from Northern Irish company JV Lagmar.

Constructed in 1991 on the site of the former Vicarage Field football grounds – home of Barking FC for much of the 20th-century – council leader Cllr Darren Rodwell insists the deal is good news for the borough.

“It’s a clear sign of the progress we’re making that a major private investor like Benson Elliot should want a stake in Barking’s future,” he said.

“We look forward to working with them on this key town centre asset to build on our growth agenda, with Barking and Dagenham being London’s growth opportunity.”

The 5.2-acre site benefits from previous planning consent for a 165,000 sq ft residential scheme, and Benson Elliot hope the town centre’s recent Mayoral housing zone designation will accelerate local housing delivery and help drive retail spend in the coming years.

Marc Mogull, the company’s managing partner said: “We’re strong believers in the growth and investment potential of east London and the London Borough of Barking and Dagenham in particular, and recognise the great opportunity this acquisition offers to revitalise a key part of Barking town centre.

“We look forward to working with the council and local community to fulfil the long-term potential of this key Thames Gateway location.”