Development Securities has secured a forward funding deal for the development of a 81,000 sq ft Morrisons supermarket in Brent.
The £41m deal for the shop at 399 Edgware Road, NW9, has been signed with clients of Aberdeen Asset Management. It has been prelet to the retailer and will anchor Development Securities’ £150m mixed-use scheme at the site.
The funding agreement will release £10m of cash immediately for the land cost of the site, and a further £2.8m in respect of costs incurred to date since planning was achieved.
Construction is now under way, with practical completion anticipated in September 2015. On delivery, Development Securities will receive an estimated balancing payment of £5m, representing a profit over the £10m book value of this element of the project.
