British Land lines up £40m West End development

The Portman Estate has agreed to sell the Marble Arch House site to British Land for £18m. Marble Arch House is on the corner of Seymour Street and Edgware Road, round the corner from Oxford Street and Hyde Park. The existing site consists of two mixed-use five storey buildings, 32-50 Edgware Road and 62-64 Seymour Street. These will be knocked down.

The new development, which has detailed planning consent, has been designed by Bennett's Associates Architects. It will comprise 60,000 sq ft of high quality office accommodation and 15,000 sq ft of retail space. Next door to the new office block will be a development of 10 luxury residential apartments with a 5,000 sq ft restaurant unit at ground level built behind the retained period Victorian facade of 62-64 Seymour Street. The total cost of development (excluding land and interest) is expected to be around £40m.

Demolition and ground works are expected to start in the summer, with practical completion scheduled for mid 2013. On completion of the development, British Land will be granted a new 125 year leasehold interest on the commercial element of the development and a separate long leasehold on the flats.

Tim Roberts, head of offices at British Land said: "Marble Arch House will offer high quality accommodation at a time when supply will be limited in a West End location which is being regenerated."

Gareth Clutton, chief executive of The Portman Estate, said: "There was a great deal of interest in this development opportunity but British Land's proposal eclipsed the others and we are delighted to work with them again on this their third major transaction on The Portman Estate"

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