British Land seek out properties in the UK capital.
Investors search for office space on the secondary market.
British Land have announced that they are keeping an eye on a series of potential deals, the firm have stated that they are looking specifically in the secondary property market as the prices are at more ‘realistic levels’.
“We are looking at more asset-specific stories. You have got to get into the weeds,” commented Chris Grigg, British Land chief executive.
Recently the company acquired Green Lanes Shopping Centre in Barnstaple for £30 million. British Land is also involved in developments to increase the amount of office space in London’s West End, primarily the Cheesegrater skyscraper development.
“We expect prime to outperform secondary. But what is starting to emerge is this realism about price from potential vendors. So you start to see value emerging and an opportunity to buy,” commented Mr Grigg.
British Land is focusing its business on high quality retail and office space with emphasis on central London offices, Mr Grigg state that this was due to the fact that the pace of the UK economy is becoming slow and is ‘likely to be muted’.
Recent demand for high quality office space in London combined with a lack of current developments means that any company that chooses to develop offices in the centre will almost certainly attract potential clients.
“[There is a] greater number of attractive opportunities coming on to the market, particularly good secondary property and assets which require combinations of development, refinancing and restructuring,” commented Mr Grigg.