KUALA LUMPUR: Amcorp Properties Bhd
has partnered with Temasek Holdings Pte Ltd in a redevelopment project in London valued at more than £1bil (RM5.46bil).
It told Bursa Malaysia its indirect unit SNL Ltd (30% equity holding) had signed a subscription and shareholders’ agreement with Temasek’s indirect unit Hubbard Investments (30%), Singapore-based hotel operator Hotel Properties Ltd (30%) and a special-purpose vehicle controlled by the shareholders of London-based property developer Native Land (10%).
Their joint-venture (JV) firm, Bankside Quarter (Jersey) Ltd, on Friday bought the companies that own Sampson House and Ludgate House for £308mil (RM1.68bil), freehold office buildings next to the River Thames.
Ludgate House and Sampson House currently has a planning permission granted in a year ago by the London Borough of Southwark for the proposed mixed-use development comprised of five exemplar residential buildings with 489 residential units (about 556,000 sq ft), four state-of-the-art office buildings and
associated retail and leisure facilities (about 343,000 sq ft) with 200 basement car parking spaces.
Amcorp said it was still preliminary to disclose the details regarding the estimated total development cost or expected profits to be derived.
Amcorp already has several property projects in London. Among others, it, Hotel Properties Ltd and Native Land are developing a 72-unit high-rise apartment development (Campden Hill) with a gross development value in excess of RM2.83bil north of Kensington High Street.
Amcorp said the latest JV was part of its strategy to expand its property portfolio in central London and was in line with the group’s vision of being an “internationally admired” property investment company.
The JV offers an opportunity to continue the strong partnership with Hotel Properties Ltd and Native Land wherein it had developed high-profile residential development in prestigious areas of prime Central London such as Kensington, Mayfair and South Bank.
It also allows it to partner with Temasek Holdings, an international investment company with a global investment portfolio of S$223bil as of 31 March 2014.
Meanwhile, Native Land, the development manager to the consortium, said in a statement on its website that it planned to deliver the project in a series of phases, with the first phase including a 49-storey tower comprising 211 apartments fronting the River Thames.
The subsequent phase, it continued would deliver a Grade A office building, with later phases including the redevelopment of Sampson House, which is currently leased to IBM until 2025 but with a mutual break option in June 2018.
A railway viaduct bisects the property. Native Land said the development would create new routes reconnecting the eastern and western sides of the viaduct where the existing buildings had formed an impermeable barrier through the site since the 1970s.