The Crown Estate, the property company that generates income for Queen Elizabeth II, said the value of its real estate surged 17 percent to a record 11 billion pounds ($17.3 billion).
Total return, a combination of rental income and value increases, from its properties, wind farms and other assets was 20.8 percent over the past year, the London-based company said in a statement Wednesday. The assets include most of the St. James’s district in London’s West End.
“This year we’ve continued on the path of success, outperforming the market and delivering significant value beyond financial return,” Chief Executive Officer Alison Nimmo said in a statement. “Over 10 years we have nearly doubled the value of the business .”
Office rents in the West End rose 7 percent in the three months through March from the previous quarter, the most since 2010, amid a shortage of supply, according to broker Knight Frank LLP. The Crown Estate will complete 50 percent of all new office space in the district in 2016 because the opportunity from development is better than from existing properties, investment director Paul Clark said at a briefing on Tuesday.
The Crown Estate oversees real estate surrendered in 1760 by the monarchy in exchange for annual payments. The U.K. Treasury collects its earnings and provides Queen Elizabeth with a percentage.