Retail development pipeline
Our priority is to time our development activity in line with the market cycle to maximise returns.
Our development schemes are creating the right spaces in the right locations to meet the needs of successful businesses. Trinity Leeds is set to transform the city centre. At 185-221 Buchanan Street, Glasgow we are creating contemporary retail space on one of Britain’s busiest shopping streets. In Retail we secure significant levels of pre-lettings before we start construction.
The only large scale UK retail shopping centre development scheme due to be delivered in 2013. Trinity Leeds is located in a prime position in a thriving city. The scheme is now 84% pre-let or in solicitors' hands.
This scheme provides 60 metres onto Buchanan Street in the heart of the Glasgow shopping district. Currently 92% pre-let and introducing Forever21 to Scotland, the retail element of the scheme is due to open in March 2013.
In September, full planning consent was secured for redevelopment of the existing shopping centre. The new 132,000 sq ft development is 51% pre-let to Tesco with a further 17% in solicitors' hands. We are engaged in detailed design at the moment and aim to be on site in early 2013.
The site is known as the former Sussex House Site, Crawley. We are delivering a 75,000 sq ft superstore for Morrisons and 110 bed hotel for Travelodge together with 4 restaurants.
Where the property is not 100% owned, floor areas shown above represent the full scheme whereas all other figures represent our proportionate share. Letting % is measured by ERV and shows letting status at 30 September 2012. Trading property development schemes are excluded from the development pipeline.
Planning status for proposed developments
PR – Planning Received
Total development cost (£m)
Total development cost refers to the book value of the land at the commencement of the project, the estimated capital expenditure required to develop the scheme from the start of the financial year in which the property is added to our development programme, together with capitalised interest, being the Group's borrowing costs associated with direct expenditure on the property under development. Interest is also capitalised on the purchase cost of land or property where it is acquired specifically for redevelopment. Of the properties in the development pipeline at 30 September 2012, interest was capitalised on the land cost at Trinity Leeds and 185-221 Buchanan Street, Glasgow. The figures for total development costs include £12.9m for the residential elements of 185-221 Buchanan Street, Glasgow.
Net income/ERV represents headline annual rent on let units plus ERV at 30 September 2012 on unlet units.