British Land Co PLC BLND £90m Hereford Retail Development Funding Signed

  British Land Co PLC (BLND) - £90m Hereford Retail Development Funding Signed

RNS Number : 9969Q
British Land Co PLC
13 November 2012






         British Land Signs £90m Hereford Retail Development Funding



British Land has signed a £90 million forward funding agreement to enable  the 
development of the 310,000 sq ft  Old Market scheme in Hereford city  centre. 
The agreement with Stanhope is one  of the only significant UK retail  forward 
fundings to take place over the last five years and represents a yield on cost
of between 6.75 and 7%.



Work will  start on  site imminently  and  British Land  will own  the  scheme 
outright on completion in spring 2014.



The open air  scheme, on  the site of  Hereford's former  cattle market,  will 
comprise 22 retail  units, seven  restaurants and a  six-screen cinema.  More 
than 50% of  the space has  already been pre-let.  Debenhams will anchor  the 
scheme with a three-storey, 84,000 sq ft department store. Waitrose has  also 
taken 22,000 sq ft  of space and  Odeon has signed for  the cinema. Next,  TK 
Maxx and Frankie & Benny's have also committed to the scheme.



Richard Wise, Head of Retail Development  for British Land, said: "We  believe 
retail development adds significant incremental value and are replenishing our
pipeline to  build  growth  and  opportunity  by  assembling  an  exceptional, 
diversified portfolio of dominant  assets. We are one  of a very small  group 
that has the ability, experience, financial strength and scale and strategy to
capitalise on future demand for the right space."



British Land's retail  development portfolio includes  the new build  Whiteley 
Shopping Centre in  Hampshire which opens  in spring 2013,  the extension  and 
refurbishment of Surrey Quays Shopping Centre in Rotherhithe and extensions at
Fort Kinnaird in  Edinburgh, Broughton  Shopping Park in  Chester and  Glasgow 
Fort Shopping Park. British Land and USS are also appraising opportunities to
extend and enhance Eden Walk Shopping Centre in Kingston.





                                     ENDS



Enquiries:



Investor Relations

Sally                  Jones,                   British                   Land 
 020 7467 2942



Media

Jackie                            Whitaker,                            British 
Land 020 7467 3449

Emma                               Hammond,                                FTI 
Consulting020 7269 9347



Pip                               Wood,                                British 
Land020    7467 
2942

Gordon  Simpson,  Finsbury   Group 
020 7251 3801

















Notes to Editors



About British Land



British Land is one of Europe's largest Real Estate Investment Trusts  (REITs) 
with total assets,  owned or  managed, of  £15.8 billion  (British Land  share 
£10.3 billion), as valued at 31  March 2012. Through our property and  finance 
expertise  we   attract  experienced   partners  to   create  properties   and 
environments which are home to over 1,000 different organisations and  visited 
by over 300  million people each  year. Our property  portfolio is focused  on 
prime retail locations and Central  London offices which attract high  quality 
occupiers committed to long  leases. Our occupancy rate  of 98.1% and  average 
lease length to first break of 11.3  years are among the highest of the  major 
UK REITs.



Retail assets account for 61% of our portfolio with around 27 million sq ft of
retail space across 89 retail parks,  97 superstores, 12 shopping centres  and 
10 department stores. The retail  portfolio is modern, flexible and  adaptable 
to a wide  range of  formats and our  active asset  management delivers  space 
which is attractive and meets the needs of both retailers and consumers.  Over 
80% of our retail parks have open A1 consent.



London offices,  located  in  the City  and  West  End, comprise  34%  of  the 
portfolio (which  will rise  to  an estimated  40%  on completion  of  current 
developments). Our  7 million  sq ft  of high  quality office  space  includes 
Broadgate, the premier City  office campus (50% share)  and Regent's Place  in 
the West  End. We  have  committed £1.2  billion  to create  Central  London's 
largest committed office development programme which will deliver 2.3  million 
sq ft of high quality space by 2014,  including a 700,000 sq ft building at  5 
Broadgate, the  610,000  sq  ft  Leadenhall  Building  in  London's  insurance 
district and a 500,000 sq ft  mixed office and residential scheme at  Regent's 
Place in the West End.



Managing our environmental, economic and social impacts is central to the  way 
we do business and  deliver value for our  shareholders. We assess the  issues 
that matter most to us  and our stakeholders on  an on-going basis and,  where 
appropriate, adjust our strategic focus to  reflect this. For the coming  year 
we  have  adjusted  our  priorities   to  focus  on  managing  our   buildings 
efficiently, supporting  communities,  developing  sustainable  buildings  and 
engaging our staff. For each of these priorities we are targeting our  efforts 
and resources at initiatives where we can achieve the biggest impacts.



Further details can be found on the British Land website at
www.britishland.com.



                     This information is provided by RNS
           The company news service from the London Stock Exchange

END


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