Owners of London icon take major step towards 3,700 homes, shopping mall scheme
BATTERSEA POWER STATION is a step closer to being re-developed after its owner, Real Estate Opportunities, sorted out its money worries.
Under a complex financial plan, REO's loans of nearly £400M have now been re-scheduled so that the company can go ahead with its ambitious plans for the iconic building alongside the Thames.
Those plans include 3,700 new homes, a huge shopping mall and masses of office space in what, at close to £5 billion, would be the biggest building project in London apart from the Olympics.
"This is a phenomenal scheme that will completely revolutionize the area," said a spokesperson for REO.
Boris Johnson is one of the plan's supporters.
"This key part of the capital is the biggest development opportunity remaining in London and the power station is one of London's much-loved historic landmarks," said the London Mayor.
After REO's financial issues, there are still three steps to take before work begins.
The next step for Battersea Power Station's revamp is for REO to get planning permission, which comes up for a ruling by Wandsworth Council in November.
After that, REO says it needs to find partners to help with the funding.
"We have had lots of expressions of interest, from sovereign wealth funds, private equity firms and even some pension funds," said Rob Ticknell, boss of REO.
Assuming those steps are taken, the first part of the project, which includes the power station, could be finished by 2015, with the second phase, involving the surrounding land, ready by 2022.