CapCo Said to Cancel Sale of $395 Million Venues Businessby
Capital & Counties Properties Plc canceled a plan to sell the Olympia exhibition center in west London, according to two people with knowledge of the matter.
The landlord decided against a sale of its venues unit, which includes the property, before the U.K. voted to leave the European Union because it wants to retain the rent generated by the business, the people said, asking not to be named because the information is not yet public. A spokeswoman for the company declined to comment.
CapCo, which owns large parts of the Covent Garden district in central London, hired Rothschild & Co. and broker CBRE Group Inc. to sell the unit for about 300 million pounds ($395 million) in November last year, the Sunday Times reported. The company transferred events to Olympia from the Earls Court exhibition center, which CapCo is demolishing for a housing project.
CapCo still plans to sell the business in the medium term, one of the people said. The value of the events business increased by 24.7 percent to 295 million pounds in 2015, according to the company’s annual report. Earnings in the venues business rose 33 percent to 15 million pounds, the report said.