West End specialist Shaftesbury says that demand in the Central London market remains strong, leading to low vacancy levels.
In an interim management statement, the company said that construction of St Martin’s Courtyard, part of its joint venture with The Mercers’ Company, was now complete. It added that by rental value, 94% of the commercial space is now either let or under offer.
“We are confident that the final phase of 21 new apartments, which has only just been handed over by the contractor, will let quickly,” said the company.
Shaftesbury said investment activity in the West End was returning to more normal levels, with competitive bidding from a range of potential purchasers.
Since 1 October 2010, the company has spent £30m on purchases including five restaurant and leisure assets and four shops with offices and residential on upper floors, located in Covent Garden, Chinatown, Soho and Charlotte Street.
“All of these properties, while producing a satisfactory initial income, offer us medium-term opportunities for improvement,” said the company.
“We have agreed terms on a number of other acquisitions which are now in solicitors’ hands.”
Shaftesbury also updated on its search for a successor to chief executive Jonathan Lane, who is retiring this year and will become deputy chairman.
The company has appointed an executive recruitment consultant to assist the Board in the process which, it said, would lead to an appointment later this year.
nathan.cross@estatesgazette.com
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