Great Portland Estates plc (GPE) and The Crown Estate have entered into an agreement, providing GPE with an option to procure a fresh headlease and development agreement to support the overhaul of French Railways House and 50 Jermyn Street, SW1.

GPE currently holds leases on French Railways House and 50 Jermyn Street that are set to expire in 2053 and 2057, respectively, with a total fixed rent of £13,250 per annum. The forthcoming master lease for both properties will span 129 years and will be structured to account for 10% of received rents.

In May 2022, GPE obtained planning permission for an office-centric renovation at French Railways House and 50 Jermyn Street, SW1. They've enlisted the expertise of Make Architects to facilitate the construction of 66,800 square feet of premium office space spread across the first seven floors and two retail/restaurant units situated on the ground floor.

Both GPE and The Crown Estate's joint commitment to sustainability is reflected in their agreement. This commitment is in line with GPE's bold new 'Brief for Creating Sustainable Spaces' and updated 'Sustainability Statement of Intent - The Time is Now' as well as The Crown Estate's unique 'Development Sustainability Principles'. The ESG targets are integrated into the agreement, covering embodied carbon, energy use intensity, NABERS delivery, and biodiversity net gain. Also included are mutually agreed reporting requirements to foster ongoing collaboration between GPE and The Crown Estate throughout the design, construction, and operational phases of the building's lifecycle.

The project is planned to uphold the circular economy's principles by maintaining the existing foundations and basement, and reusing structural steel from the deconstructed previous building at GPE's new development site, 2 Aldermanbury Square EC2. This initiative aims to save up to 99% of the carbon emissions compared to obtaining new steel.

Dan Nicholson, Executive Director at GPE commented: "This is a brilliant opportunity for GPE and The Crown Estate to work in partnership to create best-in-class office and retail space in the heart of St James’s. Sustainability is at the core of our redevelopment strategy and we are aiming to set a precedent for London by re-using over 1,000 tonnes of structural steel, creating premium spaces that deliver on the needs of our customers, into a market that is increasingly starved of such exceptional properties."

Find out more about the project on French Railways House development profile.

Photo: View to French Railways House from Burlington House 11.03.2023