Retailer John Lewis has signed heads of terms with Hammerson to anchor the 387,000 sq ft first phase of its Eastgate Quarters in Leeds.
Hammerson is also now progressing with discussions with stakeholders regarding the potential for a major extension of Brent Cross shopping centre within the existing planning consent.
The group said it intended to finalise the development strategy this autumn, and apply for a revision to the existing consent early next year.
Meanwhile, it said the majority of leaseholders of the Whitgift centre in Croydon had selected Hammerson as their preferred development partner.
Hammerson added that the sale of the majority of its office portfolio to Brookfield Office Properties for £518m worked out 5% above book value.
The asset sales will be phased over the next 12 months, with £329m due to be received this year and the remaining £189m in June 2013.
Hammerson said it had also secured additional investment of £100m in the growing designer outlet market through its partner Value Retail.
Chief executive David Atkins said: “We have created a focused retail business by accelerating our plans to sell the London office assets through a single transformational deal.
“Our strong income focus and strategic positioning are delivering good financial performance and dividend growth against a difficult consumer backdrop.”
• Hammerson today reported a half year 1.6% drop in rental income, while earnings per share increased by 6.3%.
In results for the six months to 30 June 2012, Hammerson reported net rental income of £141.6m, compared with £143.9m a year earlier. Earnings per share rose to 10.2p compared with 9.6p.
nick.whitten@estatesgazette.com
