British Land acquires Woolwich Estate for £103 million
Source - SMW
British Land acquired the Woolwich Estate, covering 4.9 acres in south east London for £103 million, representing a net initial yield of 4.1%.
The move was said to build on the company's portfolio of places benefitting from the Elizabeth Line, including Broadgate, Paddington Central and Ealing Broadway, and provides significant potential to drive growth and returns.
The Woolwich estate covers 360,000 sq ft of space in central Woolwich. Predominantly retail, it includes over 50,000 sq ft of residential and 3,000 sq ft of office space.
The estate is currently 95% occupied, with an average lease length of under four years, and average rent of £17 psf, providing British Land with an attractive opportunity to strengthen the offer and mix in line with the improving catchment.
Charles Maudsley, Head of Retail, Leisure & Residential at British Land, said: 'This acquisition provides a unique opportunity to create a thriving retail-anchored centre, benefitting from a mix of uses in an exciting, increasingly well connected and rapidly regenerating part of London.'
'We have a long term vision for the estate which will deliver space that works for retailers and their customers; which generates clear benefits for local communities and drives value for British Land.'
'Across our London campuses and our multi-let retail properties, we have developed a clear and distinct advantage in managing mixed use environments with development potential, and in enhancing and enlivening our space through placemaking. This acquisition plays very well to those skills.'
'The Woolwich Estate comprises 56 retail units and has footfall of 6 million. It benefits from an improving local demographic with over 40% of residents falling within the top three most affluent groups, per CACI consumer classification.'
'Coinciding with the arrival of the Elizabeth Line, Greenwich Council are investing £31 million to deliver a new "Creative District" which will transform five historic buildings into theatre and concert space, with offices and restaurants.'
At 8:56am: (LON:BLND) British Land Co PLC share price was +2p at 634.2p