Developer pushes ahead with Lend Lease despite £48.1m paper loss
Quintain is to accelerate the build-out of its £4bn regeneration scheme on the Greenwich peninsula, following a deal with development partner Lend Lease.
Quintain said it was “re-invigorating” the build-out at Greenwich with a deal with Lend Lease Europe allowing each company to develop two residential plots independently to accelerate delivery. Quintain will now deliver two sites at Peninsula Quays comprising some 600 residential units.
The news came as Quintain reported a pre-tax loss of £48.1m for the year ended 31 March 2011.
The firm behind the Wembley city development attributed the losses to valuation write-downs – which amounted to £63.3m on joint ventures at a student accommodation centre on Corsham Street and an affordable housing development in Bristol.
There was a slight increase in gross profit, which edged up to £26.2m from £25.9m in 2010.
The firm also confirmed a resolution to grant planning consent was received for a further 1.7 million ft2 of mixed-use development at Wembley City, including up to 1,300 homes and a new shopping street.
Adrian Wyatt, Quintain’s chief executive, said: “In the last 12 months, we have stabilised the company further creating a solid platform for future growth in value and revenues.
“Our urban regeneration programme is strategically placed to benefit from London’s strength as a global financial centre and the benefits this brings to its wider economy. In particular, we expect this to lead to a sustained rise in residential values.
“Our specialist fund management business continues on its growth path, with £267m (26%) added to assets under management during the period.”