4th Apr 2014 10:24
LONDON (Alliance News) - LXB Retail Properties PLC Friday said it has entered into a pre-let deal with H&M for a unit at its Riverside investment, Stafford, and said it is in advanced discussions with a number of other potential tenants.
In a statement, LXB said it expects to announce further pre-lets shortly.
The group arranged a public consultation in January 2014 regarding its proposal to incorporate a six screen cinema and five restaurant units into the Riverside investment.
LXB said the response was very favourable, and is in discussions with a cinema operator to enable a pre-letting to be confirmed and an application for planning permission to be finalised. LXB said demand from potential occupiers of the restaurant units has been "very good," with several offers received.
LBX said contracts had been exchanged in Gloucester for the sale of a three acre parcel of land for GBP1.25 million, conditional on planning permission being obtained for a commercial vehicle dealership. The planning application has been submitted and a decision is expected in summer 2014, LXB said.
LXB said it is also engaged in discussions regarding the sale of the remainder of its interests at Gloucester, having received an approach from a second party.
At Kingsmead, a pre-let has been agreed with Just For Pets for a 4,700 square foot unit and discussions are at a very advanced stage for a pre-let of the adjacent 10,000 sq ft unit, LXB said.
Once that pre-let is signed, the Kingsmead investment will be 100% pre-let.
"The construction of these two investments will offer a major boost to Stafford town centre and the group has held very constructive discussions with the local authorities in an endeavour to bring forward the time when they are open for business," LXB said in a statement.
"The resulting agreements are currently being documented by lawyers and a start on site is expected soon. The existing multi-storey car park has already been demolished and construction of the replacement building will start shortly in conjunction with construction of the Morrisons foodstore at Kingsmead," LXB added.
Meanwhile, LXB said it is aware of a request for the existing store at Greenwich Peninsula to be listed as being of architectural and historic interest. The planning application for a new IKEA store on the site of current Sainsbury's at Greenwich Peninsula was heard by the Planning Committee in March 2014. The committee resolved to grant planning permission on signing of a Section 106 Agreement, LXB said.
Listing the building as being of special architectural and historic interest would prevent the redevelopment of the new IKEA store, LXB said.
In Sutton, LXB said the planning permission for its major retail investment can no longer be challenged and initial demolition and site clearance works will commence this month. LXB said it is on track to secure vacant possession of the entire site by September 2014 and expects to complete the 123,000 square foot Sainsbury's by the first-quarter of 2016.
The scheme incorporates 186 residential units and LXB said it has received approaches from national house builders about acquiring the residential component. Discussions are continuing.
On Banbury Gateway, LXB said the request for a judicial review of the planning permission for the proposed Banbury Gateway retail investment was dismissed by the Court of Appeal in March 2014.
"The company understands that this matter is now at an end," LXB said in a statement.
LXB said it secured a resolution on March 27 to grant planning permission for a revision to the scheme layout to accommodate the letting to Primark which was announced on January 29.
"The group expects to sign the Section 106 Agreement shortly following which the planning permission will be confirmed and a new statutory review period will commence," LXB said in a statement.
"There are ongoing discussions with a number of additional potential tenants and the group will update shareholders in due course."
LXB shares were Friday quoted at 126.40 pence, up 1.7%.
By Samuel Agini; [email protected]; @samuelagini
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