Capco completes Joint Venture for Seagrave Road

RNS Number : 1527L

Capital & Counties Properties Plc

31 August 2012

 



PRESS RELEASE

 31 August 2012

Capital & Counties Properties PLC

CAPCO COMPLETES JOINT VENTURE FOR SEAGRAVE ROAD

The development in and around Seagrave Road remains on track to commence in 2013 following the completion of the remaining formalities for the creation of a joint venture between Capital & Counties Properties PLC ("Capco") and entities in which certain members of the Kwok family are interested (the "Kwok Family Interests"). The development will deliver 808 new homes and a new garden square for London. On completion of the 50:50 joint venture, in accordance with the conditional agreement reached between the parties in December 2011, Capco received cash consideration of approximately £67 million from the Kwok Family Interests for the 50 per cent interest in the development, which includes the Seagrave Road site and other adjacent assets.

Ian Hawksworth, Chief Executive of Capco said: 

"We are pleased to have completed our joint venture agreement in relation to the Seagrave Road project and look forward to starting on site in 2013 to create this exciting new residential quarter for London."

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Capital & Counties Properties PLC	Tel:        + 44 (0)20 3214 9150
Ian Hawksworth, Chief Executive
Soumen Das, Finance Director
Gary Yardley, Investment Director

For financial media enquires please contact:

Hudson Sandler (UK)      Michael Sandler/Wendy Baker	Tel:        [phone]
College Hill (South Africa)           Nicholas Williams	Tel:        [phone]

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Chris Rumfitt, Edelman                                                   Tel:        [phone]

Notes to Editors:

About Capital & Counties Properties PLC (Capco):

Capco is one of the largest investment and development property companies that specialises in central London real estate and is a constituent of the FTSE-250 Index. CAPCO holds 3.0 million square feet of assets valued at £1.6 billion (as at 30 June 2012) in three landmark London estates: Covent Garden, which has assets valued at £856 million, including the historic Market Building; Earls Court & Olympia Group and 50% of the Empress State building in Earls Court amounting to aggregate property assets of £620 million; and the Great Capital Partnership, a joint venture with Great Portland Estates, which holds prime West End properties of which Capco's share is £159 million. The company is listed on the London Stock Exchange and the JSE, Johannesburg.  

About the Seagrave Road joint venture:

Capco and the Kwok Family Interests now own 50 per cent each of a joint venture through which the 7.5 acre site at Seagrave Road and other adjacent assets are held.

A detailed planning application for the Seagrave Road Site was submitted in June 2011 and detailed planning consent was received in March 2012. The scheme, which covers approximately one million square feet and will replace the existing car park, provides for the delivery of a high quality, mixed tenure residential neighbourhood comprising 808 new homes and a range of amenities.  The site is set within the wider Earls Court & West Kensington Opportunity Area (ECOA).

As previously stated, the total development costs of the scheme (excluding land) are estimated to be in the region of £300 million. It is currently envisaged that the peak capital requirement for the joint venture (excluding land) would be limited to circa £100 million through a phased implementation of the project.

 

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