Lovells has advised on a £150 million funding arrangement and the restructuring of the investment vehicle for the multi-billion pound King’s Cross Central regeneration scheme in central London. Around 67 acres of land comprising the development site has also been transferred to the King's Cross Central Limited Partnership which will now take the development forward. The £150 million committed by the current investors in the joint venture vehicle – the Argent King’s Cross Limited Partnership (backed by Argent Group and Hermes Real Estate, on behalf of the BT Pension Scheme), London & Continental Railways and DHL Supply Chain – over the next three years will take forward key elements of the masterplan framework infrastructure and deliver the first phases of King’s Cross. These include:
- laying out of Granary Square, which will be one of the largest public squares in London and will front a new £100 million campus for University of the Arts London
- construction of an energy centre and a district heating grid
- the first of three bridges across the Regent’s canal in preparation for construction of the Boulevard providing links to St Pancras International and King’s Cross stations
- two key roads to the north of the canal linking York Way to the development, and major improvements to the canal itself
- a significant upgrade to the Grade II listed Great Northern Hotel
- a shared service yard with Network Rail.
The Lovells team was led by real estate partner Andrew Sanders, with assistance from Gill McGreevy, Paula Bird and Stella Bliss.
Andrew Sanders said:
“We are delighted to advise King's Cross Central Limited Partnership on one of the few privately funded major developments that is continuing to progress despite the difficult market conditions. Lovells has worked on various aspects of this project for almost ten years, and we look forward to working with the Partnership on progressing each phase of the development.”