Great Portland Estates (GPE) and The Crown Estate have exchanged an option to enable the redevelopment of French Railways House and 50 Jermyn Street in St James’s, London.
GPE secured planning consent for an office-led redevelopment of French Railways House and 50 Jermyn Street in May 2022 and Make Architects has been appointed to design 66,800 sq ft of Grade A offices over the first to seventh floors with two retail/restaurant units located on the ground floor.
GPE’s existing leases at French Railways House and 50 Jermyn Street expire in 2053 and 2057 at a combined fixed rent of £13,250 per annum. The new head lease agreement between GPE and The Crown Estate across both buildings will be for a term of 129 years and geared to 10% of rents received.
The development will retain the existing foundations and basement and reuse structural steel from the deconstruction of the former building on the site of GPE’s 2 Aldermanbury Square development, which is aiming to save up to 99% of the carbon emissions compared with procuring new steel.
Dan Nicholson, executive director at GPE, said: “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.”
