British Land steps up London investment programme

British Land has bought out joint-venture partner Tesco in the Surrey Quays Shopping Centre in an attempt to accelerate its investment programme in London and the South East.

British Land has bought out joint-venture partner Tesco in the Surrey Quays Shopping Centre in an attempt to accelerate its investment programme in London and the South East.

The property giant now owns the whole of the 300,000 square-foot retail asset in Canada Water after purchasing Tesco's 50% holding for £48m.

The deal included Tesco's commitment to a new long-term lease on its store and the petrol station, which accounts for a large part of the centre's income.

Other retailers in the centre include Bhs, River Island, New Look, JD Sports, Boots, Burton and Dorothy Perkins.

The company recently completed a share placing to raise almost half a billion pounds "to take advantage of an increased flow of more attractive investment opportunities, particularly in London and the South East"

British Land, which bought its original stake in 2009, is looking to "progress plans" next year for a £38m upgrade of the centre, which involves a refurbishment, a 100,000 sq ft extension and improvements to public spaces.

Chris Grigg, Chief Executive of British Land, said: "British Land's scale, access to finance, extensive relationships and expertise in planning, asset management and deal execution put us in a strong position to continue to source attractive acquisitions and to deliver superior total returns for our shareholders."

Harmsworth QuaysIn a separate statement, Southwark Council has given its approval for Daily Mail General Trust to assign its leasehold interest in the Harmsworht Quays print works site in Canada Water to British Land.

"The decision is a key milestone for the development which has the potential to deliver significant improvements to the local area."

Recommended

Imperial Brands has an 8.3% yield – but what’s the catch?
Share tips

Imperial Brands has an 8.3% yield – but what’s the catch?

Tobacco company Imperial Brands boasts an impressive dividend yield, and the shares look cheap. But investors should beware, says Rupert Hargreaves. H…
20 May 2022
Investing in drugmakers: uncommon profits from curing rare diseases
Share tips

Investing in drugmakers: uncommon profits from curing rare diseases

Treatments for medical conditions with only a small number of sufferers can still be very attractive for pharmaceutical companies and investors becaus…
20 May 2022
Share tips of the week – 20 May
Share tips

Share tips of the week – 20 May

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
20 May 2022
Delivering profits: should you buy Royal Mail shares?
Share tips

Delivering profits: should you buy Royal Mail shares?

The volume of parcels delivered by Royal Mail soared during the pandemic, and so did its profits. But it has been coming under pressure lately. So, as…
19 May 2022

Most Popular

Barry Norris: we’re already in the 1970s. Here’s how to invest
Investment strategy

Barry Norris: we’re already in the 1970s. Here’s how to invest

Merryn talks to Barry Norris of Argonaut capital about the parallels between now and the 1970s; the transition to “green” energy; and the one sector w…
19 May 2022
The ten highest dividend yields in the FTSE 100
Income investing

The ten highest dividend yields in the FTSE 100

Rupert Hargreaves looks at the FTSE 100’s top yielding stocks for income investors to consider.
18 May 2022
Share tips of the week – 20 May
Share tips

Share tips of the week – 20 May

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
20 May 2022