The value of Great Portland’s property investments jumped by GBP 58.4 million in the three months through June.
A paucity of office space and steadily increasing rents have both contributed to the developer’s added profits.
“Investor demand for central London commercial property continued unabated during the quarter and with limited supply, we expect much of it to remain unsatiated for some time to come,” Chief Executive Officer Toby Courtauld stated.
He added: “We remain encouraged by both the levels and spread of tenant demand across our portfolio, helping us to maintain our investment properties at almost full occupancy and deliver decent rates of rental growth.”
So far this year, shares in Great Portland Estates have risen by almost 22 per cent. Overseas investors have been a large factor in the jump, but Courtauld went on to warn that the sovereign debt crisis in Europe could have an adverse effect.
“A key mainstay behind this demand is investor expectations for further rental growth, as the supply of available space to let falls faster than its rate of replenishment.”
Meanwhile, the UK’s largest real estate investment trust, Land Securities, has said that it will continue to invest in retail and commercial property despite the economy’s sluggish recovery.
Currently, Land Securities is developing the Trinity Leeds Shopping Centre, which is more than 50 per cent leased. The centre will not be completed for at least another two years.
The Bank of England recently presented a fairly gloomy outlook for the British economy. With inflation due to peak in the next few months, the bank is widely expected not to raise rates until the last quarter of this year.
Editor’s notes: In 2022, Great Portland Estates (GPE) generated revenues of £84.2 million and reported profits of £167.2m after tax.
GPE’s portfolio was 100% focused on Central London, with the majority of its assets being office properties.
Land Securities rebranded as Landsec in 2017, and its portfolio’s value grew to £12 billion in 2022.
In June 2024, it was announced that GPE had raised £350m from its latest rights issue of almost 150 million new shares at 230p each on the London Stock Exchange (LSE).
In April 2025, it was announced that GPE had reported strong leasing performance and one of its ‘busiest quarters on record’ in the quarter to 31st March 2025.
Thirty-two new leases and renewals were signed in the quarter, generating annual rent of £18.2 million. 74 new leases and renewals were signed in the year, generating an annual rent of £37.7 million. 41 Fully Managed leases were signed, as well as six Ready to Fit leases.
In November 2025, it was reported that GPE had secured approval for the refurbishment of one of its West End headquarters office buildings.
Forming part of GPE’s hub of central London offices around Tottenham Court Road, the landlord stated that Whittington House will deliver 74,500 square feet of much-needed high-quality office space to a supply-starved market.
Camden Council granted permission for the scheme, which will deliver eight floors of sustainable offices with market-leading amenities and a new rooftop terrace and pavilion, fronting onto the newly pedestrianised Alfred Place and is set to be completed in Q1 2027.
In January 2026, it was announced that GPE had acquired the new 155-year-long leasehold interest in 10 South Crescent, WC1, for £51 million.
10 South Crescent is also located minutes from Tottenham Court Road and the Elizabeth line. It was reported that the property would be repositioned to deliver a best-in-class, decarbonised HQ office and retail building, with premium amenities and expanded roof terraces.
In February 2026, it was reported that GPE had secured a 52,293-square-foot pre-let deal at The Delft with the global data, analytics, and AI software company Quantexa.
The company agreed to a 10-year lease at the building, which is positioned moments from London Bridge and Borough Market.
The building is set to complete in Spring 2027 and would deliver 143,100 square feet of sustainable, best-in-class workspace, complete with extensive River Thames frontage and a 6,000 square feet communal roof terrace.
The Delft was the first London office scheme to use river barges for materials and waste, reducing over 640 HGV journeys.
70 per cent of the existing structure was also retained and 30 tonnes of glass were recovered from the project for reuse across London.
Following the completion of the deal with Quantexa, The Delft was 38 per cent pre-let.