British Land signs new occupiers
British Land has signed lease agreements with Sasol, the international integrated chemicals and energy company, and Mars, which makes a diverse range of products and offers services for people and pets, at 4 Kingdom Street, the newly developed office building at its Paddington Central campus.
Sasol has signed a ten year lease for 15,150 sq ft on the eighth floor of the building, while Mars has agreed a ten year lease to occupy 30,300 sq ft on the sixth and seventh floors. The two new occupiers join Finastra, the computer software firm, who recently signed a ten year lease for 42,400 sq ft over three floors.
In addition Storey, British Land’s flexible workspace brand, will take space across the fourth, ground and lower ground floors of the building. Storey caters for small and growing businesses, as well as larger organisations seeking additional space on flexible terms, in a broader campus environment with excellent amenities and enlivenment initiatives.
4 Kingdom Street, which launched in June, is 89% let or under offer at an average rent of £71 psf, 5% ahead of the pre-referendum ERV on a net effective basis. The remainder of the space is being taken by Storey.
Tim Roberts, Head of Offices and Residential at British Land
“To have attracted such high quality occupiers to 4 Kingdom Street is a tremendous endorsement of the quality of the building and the work we have done to improve Paddington Central. It also shows that British Land’s campus strategy is delivering results, where a focus on providing exceptional environments around our buildings is as crucial as delivering first-rate workspaces inside them. The wider Paddington area is fast emerging as an exciting London destination for workers and visitors alike, and our long term plans for the Paddington Central campus will ensure this momentum is maintained.”
British Land has invested nearly £100 million in the construction of 4 Kingdom Street and the transformation of the public realm at Paddington Central, which has also seen the introduction of Pergola, the popular alfresco urban dining concept operating an 850-capacity restaurant and bar on the site of 5 Kingdom Street.
British Land is curating the canalside at Paddington Central to reflect the evolving demands of its customers, as well as providing a destination for Londoners and tourists to enjoy, enlivened by a year-round events programme. The campus benefits from significant regeneration in the surrounding area, as well as the Elizabeth Line which will operate from Paddington in 2018.
4 Kingdom Street is the first building to be developed by British Land at Paddington Central since it acquired the campus in 2013. Designed by renowned architects Allies & Morrison, 4 Kingdom Street provides a total of 147,000 sq ft of office space over nine floors with outdoor terraces on floors two to nine. Its roof garden is complete with a bar and London’s highest basketball court for the use of occupiers.
Paddington Central comprises 11 acres and is home to leading international businesses including Microsoft, Vodafone, Shire, VISA and Prudential.
|Cresside Curtis, British Land||020 7467 2938|
|Claire Turvey / Ellie Perham-Marchant, FTI Consulting||020 3727 1000|
About British Land
Our portfolio of high quality UK commercial property is focused on Retail around the UK and London Offices. We own or manage a portfolio valued at £19.1 billion (British Land share: £13.9 billion) as at 31 March 2017 making us one of Europe’s largest listed real estate investment companies.
Our strategy is to provide places which meet the needs of our customers and respond to changing lifestyles - Places People Prefer. We do this by creating great environments both inside and outside our buildings and use our scale and placemaking skills to enhance and enliven them. This expands their appeal to a broader range of occupiers, creating enduring demand and driving sustainable, long term performance.
Our Offices portfolio comprises three office-led campuses in central London as well as high quality standalone buildings and accounts for 49% of our portfolio. Increasingly our focus is on providing a mix of uses and this is most evident at Canada Water, our 46 acre redevelopment opportunity where we have plans to create a new neighbourhood for London. Our Retail portfolio is focused on Regional and Local multi-let centres, and accounts for 48% of our portfolio.
Sustainability is embedded throughout our business. Our places, which are designed to meet high sustainability standards, become part of local communities, provide opportunities for skills development and employment and promote wellbeing. Our industry-leading sustainability performance led to British Land being named a European Sector Leader in the 2016 Global Real Estate Sustainability Benchmark for the third year running.
In April 2016 British Land received the Queen's Award for Enterprise: Sustainable Development, the UK's highest accolade for business success for economic, social and environmental benefits achievements over a period of five years.
Further details can be found on the British Land website.