UK: The Crown Estate has entered a £24 billion joint venture with Australian property developer Lendlease, acquiring a 50 per cent stake in six major regeneration schemes across London and Birmingham.
The partnership, announced on 19 May, aims to deliver up to 26,000 homes and 900,000 square metres of commercial space, including labs and offices.
The projects include regeneration around Euston station, Smithfield Market in Birmingham, and large-scale developments at Silvertown Quays, Stratford Cross, Thamesmead Waterfront and High Road West in north London. Lendlease will retain its role as development manager.
The deal was announced this morning at the Treasury, and Chancellor Rachel Reeves said it would “boost home ownership and make Britain a global hub for life sciences”.
Reeves also said: “[Our plans] include creating the right environment for organisations like The Crown Estate and Lendlease to partner, helping us to unlock capital to get Britain building and get Britain growing.”
The Crown Estate, which manages £16 billion in UK assets and returns its profits to the Treasury, said the joint venture reflects its growing investment ambition and national economic focus.
Tony Lombardo group CEO for Lendlease, said: “This partnership will create an industry leading alliance that is expected to unlock value within our high-quality UK development portfolio, while accelerating the release of capital for the Group.
“With our expertise in delivering city shaping urban regeneration projects, the joint venture aims to deliver positive outcomes for our securityholders, communities and partners.”
Dan Labbad, CEO for The Crown Estate, said: “With strong support from local and national government, we look forward to working with Lendlease and others to realise the potential of these projects to create jobs, stimulate growth and positively impact lives, while also generating income for the UK.
“As a country, we face challenges to unlocking growth. To support this, we need to spark investment in sectors like science, technology, and housing, alongside deep collaboration across communities, government, and the private sector.
“This joint venture is an example of how The Crown Estate is harnessing its mandate to act in the UK’s long-term national interest, supported by new investment powers, and stepping up its ambition to support inclusive growth for the nation.”
Highlights:
- Crown Estate enters £24 billion joint venture with Lendlease
- Partnership includes Euston and Smithfield regeneration
- Six major UK projects to deliver 26,000 homes
- Up to 900,000 square metres of labs and offices planned
- Lendlease to act as development manager across all schemes
