Re Joint Venture

Hammerson PLC
11 June 2001

 
Hammerson and Grosvenor join forces to redevelop Prime Mayfair Site, 9/13
Grosvenor Street, London W1 
 
Hammerson plc and Grosvenor have formed a joint venture partnership to create
a new office and retail scheme at 9/13 Grosvenor Street, London W1, one of
Mayfair's most prestigious business locations.
 
The redevelopment will provide 5,800 m2 (62,800 ft2) of new, high-quality
accommodation - almost 50% larger than the building currently occupying the
site. Planning consent has been granted for 5,000 m2 (54,000 ft2) of new,
high-quality office accommodation on ground and five upper floors, with 800
m2 (8,800 ft2) of retail arranged in four units on ground and lower ground
floors.
 
Hammerson acquired the long leasehold interest in the existing 3,700 m2
(40,000 ft2) building in 1993. The freehold is owned by Grosvenor. A new
150-year lease has been granted to the joint venture at a peppercorn rent,
while Grosvenor will retain the freehold. Hammerson will provide project
management services for the partnership.
 
Start of construction is anticipated for August 2001, with completion
scheduled for Autumn 2003.
 
Commenting on the transaction, Jeremy Titchen, Grosvenor's Commercial
Director said:
 
     '     This is an exciting redevelopment opportunity for us in
partnership with Hammerson. It fits with our strategy of actively managing
our landholdings in central London.'
 
Peter Cole, Development Director, Hammerson plc, said;
 
     '     This building will provide first class accommodation suitable for
modern business occupiers and is positioned to take full advantage of the
strong West End market.'
 
Letting agents for the office space at 9/13 Grosvenor Street will be Knight
Frank and Jones Lang LaSalle.
 
 
For further information:
 
Peter Cole                                   Tel: [phone]
Development Director
Hammerson plc
 
Christopher Smith                            Tel: [phone]
Director of Corporate Affairs

Hammerson plc

 
Justin St Clair-Charles
Marketing & Communications Director
Grosvenor                                    Tel: [phone]