Demand for shops and homes on Sloane Street, SW1, has pushed up the value of Cadogan Group’s property portfolio by nearly £600m in just one year.
The landed estate, which has property spanning 93 acres in Chelsea and Knightsbridge, has posted a stellar set of results for the 12 months to 31 December 2013, with the value of its property portfolio increasing to £4.5bn from £3.9bn in 2012.
Pretax profit increased by 29% to £73.9m from £57.3m, while turnover increased by 10% to £128m from £116.5m.
Hugh Seaborn, chief executive of the Cadogan Estate, said Sloane Street’s reputation as one of London’s premier shopping streets meant retail accounted for the majority of an 11.8% increase in group rental income to £117.1m.
The company also made new shop purchases last year with a focus on adding to the estate’s Kings Road assets.
Seaborn said: “There were rental streams from our newer tenants, such as Tom Ford, Alberta Ferretti and Zegna, coming online after a rent-free period. There is no doubt that the retail market has polarised between the value and luxury sectors and our retail assets have particularly benefited from the strong performance of luxury brands and their international customer base.”
He added that Cadogan’s residential arm saw its highest level of sales, with 152 homes generating £121.7m.
Plans for 2014 include progressing a 100,000 sq ft, six-storey, Stiff+Trevillio-designed retail and office block.
Directors at the firm shared a remuneration package of £1.9m.
joanna.bourke@estatesgazette.com
