The demolition of the existing building has now completed and the main contract works have commenced at 73/89 Oxford Street, which will deliver 90,700 sq ft of new-build retail and office space, reports Great Portland Estates.
Following the pre-let of 31,800 sq ft to New Look at a zone A rent of £600 per sq ft in March 2015 and subsequent securing of a change of planning use for the second floor from office to retail during the period, 42.6% of the scheme's GDV is already pre-let.
The scheme is due for completion in April 2017 and GPE sees strong interest in the remaining 15,300 sq ft of retail space which sits directly opposite the Dean Street entrance to the Tottenham Court Road Crossrail station. Based on current market assumptions, the scheme is expected to deliver GPE a profit on cost of 25.4%.
Source: Great Portland Estates plc Half Year Results 2015 www.gpe.co.uk