(The following press release from British Land was received by e-mail. It
was not confirmed by the sender.)
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.
Sally Jones, British Land
020 7467 2942
Jackie Whitaker, British Land
020 7467 3449
Emma Hammond, FTI Consulting
020 7269 9347
Pip Wood, British Land
020 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
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