Land Securities gains full control of Wapping estate

20th Nov 2014 09:28

Land Securities has acquired full control of Wapping's Thomas More Square estate for £85.3m as it moves ahead on redeveloping the area with refurbished office and retail space.The real estate investment trust (REIT) bought the remaining 50% share it did not already own from an affiliate of its joint-venture partner, the Ontario Teachers' Pension Plan Board.Land Secs plans to develop the estate, which sits between St Katharine Docks and London Dock, into a "vibrant destination" after being given planning permission in June 2014 for a comprehensive refurbishment of the square's Building 3 and a redesign of the estate's public realm.The Thomas More Square Estate totals roughly 4.2 acres and comprises six office buildings incorporating retail, leisure and parking facilities with four smaller retail blocks.Two companies, Ipsos MORI and Mitsui OSK Lines, have already let 97,000 square feet of Building 3 on 15-year leases with 10 year breaks, and a further 100,000 sq ft will be available from mid-2015.Last week's interim results from Land Secs reported a massive increase in profits and a higher net asset value (NAV), saying that its portfolio is "now in much stronger shape", with values rising and yields falling across every category of its portfolio due to strong investors demand for commercial property, specifically shopping centres and London offices.