Lendlease has launched a joint venture with the Crown Estate that will see the pair team up on six Lendlease projects valued at A$48.7bn (£23.4bn).
The deal covers Stratford Cross land holdings as well as land management agreements for Euston Station, Silvertown, Birmingham Smithfield (pictured), High Road West and Thamesmead Waterfront. Across the projects the pair will deliver some 26,000 new homes and more than 9.6m sq ft of office and life sciences space.
Lendlease will use the joint venture to accelerate the release of more than A$300m of capital from its longer-dated international development book and will halve its future funding commitments to A$125m.
Tony Lombardo, chief executive of Lendlease, said: “This partnership will create an industry leading alliance that is expected to unlock value within our high-quality UK development portfolio, while accelerating the release of capital for the group.
“With our expertise in delivering city shaping urban regeneration projects, the joint venture aims to deliver positive outcomes for our securityholders, communities and partners.”
Dan Labbad, chief executive of the Crown Estate, added: “With strong support from local and national government, we look forward to working with Lendlease and others to realise the potential of these projects to create jobs, stimulate growth and positively impact lives, while also generating income for the UK.
“As a country, we face challenges to unlocking growth. To support this, we need to spark investment in sectors like science, technology, and housing, alongside deep collaboration across communities, government, and the private sector. This joint venture is an example of how the Crown Estate is harnessing its mandate to act in the UK’s long-term national interest, supported by new investment powers, and stepping up its ambition to support inclusive growth for the nation.”
CBRE advised the Crown Estate.
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