The company achieved planning consent in April 2011 for a mixed-use development incorporating roughly 91,000 sq ft of offices. The site earmarked for the project overlooks Green Park, one of the more exclusive districts of London, where average office rental rates are among the most expensive anywhere in the world.
The properties are referred to collectively as Clarges Estate, which covers addresses 6 to 12 on one side of Clarges Street and numbers 82 and 84 on Piccadilly. British Land and the selling party agreed upon an acquisition price just below £130 million, and the deal is expected to be finalised before the end of the year.
“I am excited by this unique opportunity to buy nearly an acre of land in Mayfair, where we can leverage our financial and development expertise to add value,” said Tim Roberts, head of offices at British Land.
He added, “The scale of the development will create a landmark building and will further enhance British Land’s presence in the West End.”
In addition to creating thousands of square feet of new offices in the West End, British Land has said it intends to create a series of retail outlets and luxury residential properties in place of what will soon be its buildings in Mayfair.
British Land is heavily involved in some of the most high-profile office space developments in London, including the construction of a new headquarters for the Swiss bank UBS in the City and a 610,000 sq ft office tower in the heart of London’s primary insurance district.
Editor’s notes: The Clarges Estate’s redevelopment was completed in 2017, delivering 50,000 square feet of world-class office space, 34 super prime residential apartments, and nearly 15,000 square feet of high-quality retail space.
British Land sold Clarges Mayfair to German securities services provider Deka for £177 million in November 2020.