Sale of Walthamstow residential development
Updated : 07:49
11 July 2022
CAPITAL & REGIONAL PLC
("Capital & Regional" or "the Company")
UK company number 01399411
LSE share code: CAL
ISIN: GB00BL6XZ716
LEI: 21380097W74N9OYF5Z25
CAPITAL & REGIONAL COMPLETES £21.65 MILLION SALE OF WALTHAMSTOW RESIDENTIAL DEVELOPMENT TO LONG HARBOUR
Capital & Regional, the UK convenience and community focused shopping centre REIT, announces that it has completed the sale of the residential development project at its 17&Central community shopping centre in Walthamstow, London, to specialist residential developer Long Harbour for c.£21.65 million. The development is in line with the Company's strategy of seeking ways to create value from its portfolio assets through the reconfiguring or repurposing of underutilised space for other uses which also help drive footfall and operational performance. The Company plan to use the majority of the proceeds received to further reduce its loan facility within The Mall Limited Partnership.
Capital & Regional secured planning consent at the end of 2021 for a residential-led, mixed use development, incorporating a new Victoria Line tube station entrance and new public space including a new park. The first phase of the development, to be delivered through the Long Harbour transaction, will see the creation of 495 much needed Build to Rent residential apartments in two residential towers, including a 30% affordable housing provision, two-thirds of which will be incorporated within the residential development.
In recent months the Company has secured vacant possession of the units required to unlock the Long Harbour residential site, including JD Sports, Deichmann, Timpsons and Costa Coffee, who have all been successfully relocated within the centre. In parallel, the Company has been progressing various enabling works, including utility and infrastructure diversions, that will facilitate the start of the residential construction, which is expected to commence imminently.
As part of the transaction, the Company has been granted new 250 year headleases over the entire site from the London Borough of Waltham Forest.
Lawrence Hutchings, CEO of Capital & Regional said: "A key element of our community shopping centre strategy is to explore and execute opportunities to create value, both through initiatives that deliver economic benefit and enhance operational performance, as well as delivering social value by providing more services, and creating additional jobs, enhanced infrastructure, new spaces and a better overall experience for the benefit of our customers and the wider community.
"Having served Walthamstow for over 30 years, the residential development opportunity we have unlocked at 17&Central is an exemplar or what we want to achieve in this respect. It is also a clear demonstration of our commitment to continually invest in this community and town centre to ensure that the local population has what it needs and wants from a thriving town centre. We are now in the process of handing over the site to Long Harbour and look forward to them commencing work on the first phase of this exciting project in the coming weeks, bringing much needed new homes to the area.
"We will also continue to seek further such opportunities at all our centres, working alongside Far East Consortium, following our strategic agreement last year."
Councillor Grace Williams, Leader of Waltham Forest Council said: "Today's announcement brings the project to redevelop the 17&Central shopping centre and the surrounding town square one step closer. The plans will deliver new retail outlets and much-needed on and off-site housing, including some for social rent, and at the same time create thousands of high-quality new jobs and training opportunities alongside apprenticeships for our young people that will give them the essential skills they need to thrive as they build careers in the construction industry.
"When work is complete visitors will be welcomed to Walthamstow town centre with a redesigned town square incorporating a new children's play space and community areas, with the potential for a new entrance to Walthamstow Central underground station. I am delighted that companies like Capital & Regional and Long Harbour want to invest in our town centres and our people."
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For further information:
Capital & Regional plc 020 7932 8000
Lawrence Hutchings
Stuart Wetherly
FTI Consulting 020 3727 1000
Richard Sunderland, Maria Saud, Katie Hughes
About Capital & Regional plc:
Capital & Regional is a UK focused retail property REIT specialising in shopping centres that dominate their catchment, serving the non-discretionary and value orientated needs of the local communities. It has a strong track record of delivering value enhancing retail and leisure asset management opportunities across its portfolio of in-town shopping centres.
Capital & Regional owns and/or manages eight shopping centres in Blackburn, Hemel Hempstead, Ilford, Luton, Maidstone, Redditch, Walthamstow and Wood Green. Capital & Regional manages these assets through its in-house expert property and asset management platform.
Capital & Regional is listed on the main market of the London Stock Exchange (LSE) and has a secondary listing on the Johannesburg Stock Exchange (JSE)
For further information see capreg.com
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