Berkeley Group has bought National Grid’s 50% stake in their St William Homes joint venture for £412.5m.
The venture was set up in 2014 to bring forward mixed-use residential schemes on former gasworks sites, following Berkeley’s acquisition of the old gasworks at Southall’s Green Quarter. The venture has since delivered the first 550 homes on that 86-acre 3,750-home site.
The buyout gives Berkeley control of 19 sites already in its land holdings and earmarked for 12,600 homes; two sites for a combined 2,600 homes already in its near-term pipeline; and three new long-term sites for some 5,000 homes. Berkeley said it will now “only acquire new land very selectively”.
Chief executive Rob Perrins said: “With 24 sites now in St William, this is the natural time for National Grid to realise its investment and for Berkeley to focus on bringing all of these sites into delivery and helping meet the housing need of London and the South East.”
The deal should mean that Berkeley now hits existing pretax profit guidance for the financial years ending 30 April 2024 and 2025 a year earlier in each case.
To send feedback, e-mail tim.burke@eg.co.uk or tweet @_tim_burke or @EGPropertyNews
