Orion Shepherds Bush Limited, a joint venture between Development Securities and Orion Land & Leisure, today announces that Pramerica Real Estate Investors has signed a £44.1 million (approx. €53.53 million) agreement to fund the first phase of regeneration at Shepherd's Bush Market. The six-acre site in Shepherd's Bush has outline planning consent for a £150 million (approx. €182.1 million) mixed-use regeneration project that will include a revitalized market, up to 211 residential units and over 14,000 ft² (approx. 1,300 m²) of retail and leisure space.
The funding from Pramerica, acting on behalf of its investors, will finance the cost of completing the purchase from TfL of the majority of the market holding, enabling the redevelopment of the first phase of the scheme to commence. This will see the existing market refurbished to improve its infrastructure, physical environment and retail facilities.
The process of land assembly around this complex and historic site is well advanced with the acquisition of the market site from TfL representing one of the final necessary purchases. A CPO inquiry has taken place which, pending its successful conclusion in Q2 2014, will secure vacant possession of the remaining part of the site, allowing the redevelopment to commence in the Summer.
Matthew Weiner, Development Securities said: "Today's announcement is a significant milestone for the project which will enable us to progress our plans and start redevelopment later this year. Shepherd's Bush Market is an important and historic London asset and our plans for redevelopment seek to preserve and enhance its significance. This is a complex development which illustrates our core strength in creating value through real estate regeneration. We are excited by the benefits that the redevelopment will bring to this part of West London."
Richard Olsen, Chairman of Orion Land & Leisure said: "Our scheme in Shepherd's Bush is a prime example of regeneration on underutilised land in London and my partners and I are delighted to have the opportunity to be working with Pramerica Real Estate Investors. Securing the funding and taking control of the market represents a significant milestone in this complex project and underlines our commitment to delivering a scheme of outstanding quality for West London."
Andrew Moffat, Head of UK Residential, Pramerica said: "We are pleased to be supporting this quality joint venture and to provide our clients the opportunity to benefit from participating in the regeneration of Shepherd's Bush Market."
Source: Development Securities