Royal Mail has completed the previously announced sale of two plots on its Nine Elms Park site for £101 million to a joint venture between the European real estate investment platform Henderson Park and rental housing specialist Greystar Real Estate Partners.
The Henderson Park/Greystar joint venture has bought two of the seven plots on the Nine Elms Park site, which is close to Battersea Power Station, and they plan to develop a 894-home residential scheme. Royal Mail said that the proceeds of the sale will be used for ‘general corporate purposes’, with around £30 million committed to be re-invested into the Nine Elms Park site for infrastructure works and to support future plot developments.
Martin Gafsen, Group Director of Property and Facilities Solutions, Royal Mail said: “Henderson Park and Greystar’s strategy of developing Build-To-Rent accommodation will play an important role in the ongoing transformation of Nine Elms as well as benefit the other plots on the Royal Mail site.
“Following the opening of the US Embassy and with the new Northern Line Extension due to start running in the near future, Nine Elms is becoming increasingly attractive as a residential community with the delivery of this first phase of development.”
Royal Mail’s South London Mail Centre on the Nine Elms site closed in 2012 with mail processing transferring to other Royal Mail sites in Greater London.