International legal practice Norton Rose LLP has advised the purchasers on the £400 million acquisition of Battersea Power Station in central London.
The purchaser, a joint venture between subsidiaries controlled by Malaysian property developer SP Setia Berhad, Malaysian conglomerate Sime Darby Berhad and the Employees Provident Fund was announced as the preferred bidder for the 39 acre London landmark last month by Ernst & Young, acting as administrators and receivers for the companies that own the portfolio of properties that make up the site.
The Norton Rose LLP team advised on all aspects of the acquisition, including the contract documents, title due diligence, construction and environmental aspects and the joint venture arrangements. Contracts for the purchase were exchanged on 4 July, with completion of the purchase set for early September 2012.
The joint venture intends to implement architect Rafael Viñoly’s consented master plan for the site, which will retain and restore the listed power station, and see 3,700 homes and over 2.4 million square feet of office, leisure and retail space built in seven phases over the next 12 years. As part of the development, the joint venture will make a substantial contribution to the cost of extending London Underground’s Northern Line and will build a new underground station on the site.
Dan Wagerfield, partner, leading the Norton Rose LLP team, commented:
“This acquisition marks SP Setia and Sime Darby’s first foray into Europe and, for SP Setia, a significant first step on the road to becoming a global property player. We’re continuing to see interest among overseas investors in prime London real estate, much of which is coming via our international offices.”
“Battersea Power Station is the second largest regeneration scheme in London after the Olympic site and has rich development potential. Unlocking that potential will require us to draw on the experience and expertise of our real estate, corporate, banking, planning, environment and tax teams.”
The Norton Rose LLP team was led by real estate partner Dan Wagerfield, assisted by real estate partners David Sinclair and Charlotte Bijlani. Also advising on the transaction were partners Chris Hill, Caroline May, Nigel Hewitson, Richard Calnan, Dan Kennedy, James Stonebridge, Mark Lloyd Williams and John Challoner.
Jersey law firm Mourant Ozannes advised SP Setia on the Jersey law aspects of the transaction and Conyers Dill & Pearman on British Virgin Islands law. Linklaters acted for the sellers.
