Developer targets more PRS work

New Covent Garden Market aerial view

Property regeneration group St Modwen has said it has begun procuring a contractor for New Covent Garden Market at its 10 acre Nine Elms Square site.

The developer, in a trading update, said it was aware of the “negative sentiment” towards central London residential prices and Nine Elms in particular. But having reviewed sales activity in the area, it claimed current market evidence does not support the level of negativity.

Vacant possession of the site is still on track for spring 2017 and St Modwen said it will still explore its options over whether to sell, joint venture or develop the site itself during this year. 

The firm is in a 50:50 joint venture on the development with Vinci Investments and it currently accounts for 13% of its portfolio.

Elsewhere the firm said construction would commence shortly on the development of 201 private rented sector homes on its 110 acre St Andrew Park site in Uxbridge with completion expected next year.

St Modwen added that it had identified further sites within its existing portfolio for private rented sector development and would progress with the planning process on them this year.