Good morning, this is your AM bulletin with the latest news and views from EG, as well as a few of the best bits from the morning papers.
Custodian REIT and Abrdn’s Property Income Trust have agreed terms for a £1bn all-share merger. The deal will see the REIT buy all API’s share capital for £237m, at a 29% premium to last night’s share price of 48p. The enlarged group will have more than 200 assets and a value in excess of £1bn.
Google has confirmed that it will build a £1bn data centre in Waltham Cross. Google bought the 33-acre site in 2020, and plans to have the scheme built by 2025. The chancellor, Jeremy Hunt, hailed the commitment as “a huge vote of confidence in Britain”.
McLaren Property and Kadans Science Partner has moved a step closer to realising their 1m sq ft-plus joint development in Manchester. The city council has granted a resolution to approve a full planning permission for the Upper Brook Street scheme in Ardwick, which McLaren and Kadans will develop alongside Property Alliance Group and Moda Living.
And MPs have attacked freeholders for creating a “rentier structure” in England and Wales and charging “exorbitant” ground rents. The Residential Freehold Association pointed out that a cap on ground rents would knock £27bn off asset values and hurt pension funds. “Nonsense,” said Labour MP Barry Gardiner – who is making a documentary about the issue. “Freeholders have over the past 15 years created a rentier structure where they can extract revenues from the ground rent that are exorbitant, in some cases £8,000 a year, for no service.”
In other news –
Rising seas will cost UK £120bn
Task gets nod to roll out £30m HQ in Wolverhampton
Greater Manchester’s 100% affordable homes scheme gets funding
