In January 2015, GPE committed to the fully consented development scheme at 73/89 Oxford Street, which will deliver 90,700 sq ft of new-build retail and office space directly opposite the Dean Street entrance to the Tottenham Court Road Crossrail station.
With vacant possession achieved, strip-out of the existing property has completed with full demolition works now underway and the main construction contract agreed with Brookfield Multiplex. Following a strong valuation performance over the last 12 months (up 53%), based on current market assumptions, the scheme is expected to deliver GPE a profit on cost of 14.1% on planned completion in spring 2017.
Shortly after committing to the development of 73/89 Oxford Street, GPE pre-let the majority of the retail space as a new flagship store to fast-fashion brand New Look. On completion of the development, they will occupy 31,800 sq ft on basement, ground, first and second floors on a 20 year lease, paying rent of £3.65 million p.a. after receiving 12 months rent free from lease commencement. The letting was conditional upon GPE securing a change of use on the second floor from office to retail which they received in May 2015.
Source: GPE Annual Results 2015 www.gpe.co.uk