London's Crossrail has acquired 18/19 Hanover Square in London from Great Portland Estates plc (GPE). The acquisition was carried out via a compulsory purchase order (CPO) under the Crossrail Act 2008 to enable the development of the Bond Street Crossrail station.
London's Crossrail has acquired 18/19 Hanover Square in London from Great Portland Estates plc (GPE). The acquisition was carried out via a compulsory purchase order (CPO) under the Crossrail Act 2008 to enable the development of the Bond Street Crossrail station.
The initial cash received by GPE from the CPO is £36 mln (EUR 40 mln). GPE said the level of further consideration was dependent on an extensive valuation process.
The London property investor said the initial proceeds would enhance GPE's financial resources for acquisitions and selected developments. GPE has the right to re-acquire the Hanover Square site from Crossrail following the completion of the underground station works at a discount to the open market value at that time. The current buildings provided rental income of £2.7 mln per annum to GPE.
The acquired properties form part of GPE's major mixed use development proposals on the 1.3-acre prime site fronting Hanover Square and Bond Street in the heart of the West End. GPE and Crossrail are jointly working on the master plan for the entire site and anticipate progressing with a planning application in the first half of next year.
