REG - British Land Co PLC - Urban Logistics Acquisition

British LandAnnouncement

02/02/2022 07:00

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RNS Number : 3922A  British Land Co PLC  02 February 2022

 

2 February 2022

 

British Land acquires £157m 12.5 acre site in North London bringing the urban
logistics development pipeline to over £1bn

 

British Land announces that it has exchanged on the acquisition of three
warehouses at Hannah Close, in Wembley for £157m with completion expected by
mid February.  This is a development-led opportunity which aligns to our
strategy of delivering new urban logistics space through the intensification
and repurposing of existing buildings.  It is well located within the M25,
just outside the North Circular, providing an excellent, medium term
opportunity to deliver a multi-storey, urban logistics hub for Central and
West London, where supply is highly constrained.

 

The three warehouses comprise over 245,000 sq ft on a 12.5 acre site and are
fully let to Amazon, Euro Car Parts and the North London Waste Authority
generating an annual income of £3.6m with significant reversion.  The area
around Hannah Close is designated a Strategic Industrial Land location,
promoting industrial employment and development and offers excellent road and
rail connectivity, essential for last mile urban logistics operators.  It
also provides good access to the underground, helping to attract employees to
the location.

 

Simon Carter, CEO British Land said: "This acquisition is another example of
the strong progress we are making against our strategy to address the chronic
shortage of urban logistics space in central London via intensification and
repurposing.  Wembley is ideally located for vehicles coming into London and
subsequently out for delivery with excellent access to affluent parts of the
capital.

 

This latest acquisition follows acquisitions in Enfield to the north of
London, Thurrock to the east and Finsbury Square in the city, and along with
opportunities we have identified on our standing portfolio, brings the total
gross development value of our urban logistics pipeline to over £1bn, with a
blended forecast IRR from acquisition of c.15% across the pipeline."

 

 

 

ENDS

 

 

Enquiries:

 

Investors & Analysts:

 

Jo Waddingham          07714 901166

 

Media:

 

Lizzie King                  07808 912784

 

 

 

About British Land

Our portfolio of high quality UK commercial property is focused on London
Campuses and Retail & Fulfilment assets throughout the UK. We own or
manage a portfolio valued at £13.3bn (British Land share: £9.8bn) as at 30
September 2021 making us one of Europe's largest listed real estate investment
companies.

 

We create Places People Prefer, delivering the best, most sustainable places
for our customers and communities. Our strategy is to leverage our best in
class platform and proven expertise in development, repositioning and active
management, investing behind two key themes: Campuses and Retail &
Fulfilment.

 

Our three Campuses at Broadgate, Paddington Central and Regent's Place are
dynamic neighbourhoods, attracting growth customers and sectors, and offering
some of the best connected, highest quality and most sustainable space in
London. We are delivering our fourth Campus at Canada Water, where we have
planning consent to deliver 5m sq ft of residential, commercial, retail and
community space over 53 acres. Our Campuses account for 70% of our portfolio.

 

Retail & Fulfilment accounts for 30% of the portfolio and is focused on
retail parks which are aligned to the growth of convenience, online and last
mile fulfilment. We are complementing this with urban logistics primarily in
London, focused on development-led opportunities.

 

Sustainability is embedded throughout our business. In 2020, we set out our
sustainability strategy which focuses on two time-critical areas where British
Land can create the most benefit: making our whole portfolio net zero carbon
by 2030, and partnering to grow social value and wellbeing in the communities
where we operate.

 

Further details can be found on the British Land website at
www.britishland.com (http://www.britishland.com)

 

 

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