Development Securities gets funding for Hammersmith Grove projects in London

3 April 2014 (Last Updated April 3rd, 2014 18:30)

Development Securities has secured £92m of funding from SWIP Property Trust for the development of 12 Hammersmith Grove in London.

Development Securities has secured £92m of funding from SWIP Property Trust for the development of 12 Hammersmith Grove in London.

SWIP Property Trust's investment will forward-fund the second and final phase of the 375,000ft² office regeneration scheme in Hammersmith.

12 Hammersmith Grove will hold 167,000ft² of office space over eleven floors, along with new restaurants and additional public areas.

Construction work is due to commence in May and is expected to be completed in the first quarter of 2016.

"The supply of grade A office space in Hammersmith is otherwise very limited with 10 and 12 Hammersmith Grove providing the highest quality space in this market."

SWIP Property Trust also provided £50m funding for the first phase of the 10 Hammersmith Grove development in October 2011.

The first phase was completed in July 2013 and features 110,000ft² of offices, three restaurants and a 6,000ft² area of public space.

Julian Barwick of Development Securities said the appetite for office space in locations such as Hammersmith is growing, as occupiers are increasingly price-sensitive and yet still discerning, with regards to quality.

"The supply of grade A office space in Hammersmith is otherwise very limited with 10 and 12 Hammersmith Grove providing the highest quality space in this market. We look forward to bringing the final phase of development to completion," Barwick said.

Transport for London (TfL), which owns the freehold for both 10 and 12 Hammersmith Grove, signed a 175-year lease agreement with Development Securities in 2010, to allow the development of the scheme.

Development Securities said that TfL remains a partner in the development, which has and continues to contribute to Hammersmith town centre regeneration, with office space, significant retail, improved local infrastructure and 2,500 jobs.