CLS Holdings has exchanged contracts for the unconditional sale of the site of its proposed mixed-use Vauxhall Square development to R&F Properties, a Chinese property developer.
The sale will be for £157.77 million gross. R&F Properties will assume CLS’s obligations for the relocation of the hostel at 62 Bondway, resulting in a net consideration of £144.1 million. It is expected that completion will be on or around 4 May 2017. The property was valued at £100m in CLS’ December 2016 accounts.
CLS will retain the freehold interest in the Miles Street student accommodation block (having sold a long leasehold interest for £24.8 million in December 2015) and residential houses in Wandsworth Road.
Henry Klotz, Executive Chairman of CLS, commented: “The sale of Vauxhall Square is a milestone in the history of CLS. Having bought the site nearly 30 years ago and secured planning in 2013, we are pleased now to have exchanged contracts at a price above its year end valuation.”
“R&F Properties has extensive residential development experience and we are delighted that it will soon create a vibrant residential, office and retail development to enhance Vauxhall, an area in which we retain over £330 million of long-term investments.”