Herbert Smith has advised Canada Pension Plan Investment Board (CPPIB) and Freshfields has advised Land Securities Group Plc in a 50:50 joint venture, known as the Victoria Circle Limited Partnership. The new joint venture will own and undertake the redevelopment of a 5.5 acre site, with an estimated end value in excess of £1 billion.
The proposed Victoria Circle development will comprise five new buildings occupying the island site opposite Victoria Station, bounded by Bressenden Place, Victoria Street and Buckingham Palace Road. The landmark mixed use scheme includes retail, office and residential elements with a total expected floor area of approximately 1,000,000 square feet and public realm areas.
Herbert Smith advised CPPIB on all of the legal aspects of the transaction including the joint venture arrangements (structured using a limited partnership JV vehicle), associated development and asset management arrangements, structuring and the establishment of CPPIB’s investment vehicles and due diligence on the project.
The Herbert Smith team was led by real estate partner Don Rowlands assisted by senior real estate associates Paul Chases, Rob Booth and Steve Newson. Corporate real estate assistance was provided by Shane Mitchell and Hannah Williams. The wider Herbert Smith team comprised Neil Warriner (tax), Andre Pretorius and Alexandra Long (competition), Carolyn Milligan, Will Turnbull, Anna Ralston, Rachel A Walker, Srin Madipalli and Trevor Davies (real estate); Patrick Robinson, Charlotte Dyer and Liz Christie (planning); and Nick Downing and Bethan Ellis-Jones (construction).
Freshfields advised Land Securities on all of the legal aspects of the transaction, including the structure of the joint venture, the development and asset management arrangements and the due diligence process on the project.
The Freshfields team was led by real estate partner John Fordham assisted by senior real estate associate Mike Reid and real estate associate Kat Simms. They were supported by Chris Morris and Adam Reekie (real estate), Colin Hargreaves and Alan Rafferty (tax), Mark Watterson, Piers Prichard-Jones, Nicole Dennehy and Ross McKay (corporate), Diana Harvey and Laura Wisdom (construction) and Alastair Chapman and Sorcha O’Carroll (ACT).
Herbert Smith partner Don Rowlands commented:
“The Victoria Circle development is an integral part of the regeneration of the Victoria area. With the debt markets still challenging the appetite for equity funding from overseas investors remains very strong for prime development projects.”
Freshfields partner John Fordham commented:
“The conclusion of the joint venture with CPPIB is a critical step in enabling Land Securities to move forward with this very significant scheme. Having been previously involved since 2006 in its development agreements with London Underground and Victoria Palace Theatre on the site, we are delighted to have assisted in achieving this latest milestone.”
