One of London's most exciting retail regeneration projects has just been sold to British Land for 103 million pounds. Known as the Woolwich Estate, a retail mecca spanning 56 units with an annual footfall of 6 million visitors, it covers 360,000 sq ft of mostly retail pace in central Woolwich.
The company said it "benefits from an improving local demographic with over 40 per cent of residents falling within the top three most affluent groups". The estate is currently 95 per cent occupied, with an average lease length of under four years, and average rent of 17 pounds per square foot.
Greenwich Council are investing 31 million pounds to coincide with the arrival of Crossrail to deliver a new "creative district" which will transform five historic buildings into theatre and concert space, with offices and restaurants.
British Land said the deal is in line with its "strategy of focusing on well-connected, mixed use assets which meet the evolving needs of our occupiers and their customers" and builds on a portfolio of places benefitting from the Elizabeth Line, including Broadgate, Paddington Central and Ealing Broadway.
According to the group, the Woolwich Estate is "already benefitting from significant regeneration", led by the Elizabeth Line which launches from Woolwich in December 2018. To coincide with this, 6,000 new homes have been built or are in the pipeline.
"This acquisition provides a unique opportunity to create a thriving retail-anchored centre, benefitting from a mix of uses in an exciting, increasingly well connected and rapidly regenerating part of London. We have a long term vision for the estate which will deliver space that works for retailers and their customers; which generates clear benefits for local communities and drives value for British Land," said Charles Maudsley, head of retail, leisure & residential at British Land.
"Across our London campuses and our multi-let retail properties, we have developed a clear and distinct advantage in managing mixed use environments with development potential, and in enhancing and enlivening our space through placemaking. This acquisition plays very well to those skills."