Battersea Power Station - 2012 Sale and Redevelopment Plans

2012 Sale and Redevelopment Plans

Following the failure of the REO bid to develop the site, in February 2012, Battersea Power Station was put up for sale on the open market for the first time in its history. The sale was conducted by commercial estate agent Knight Frank on behalf of the site's creditors. Stephan Mile-Brown, the head of residential development at the estate agent Knight Frank, which was handling the sale, said: "This is the first time Battersea power station has ever been offered for sale on the open market." He continued: "Knight Frank anticipates considerable interest in a scheme that is among the most exciting in the world today." In May 2012, several bids were received for the landmark site, which was put on the market after Nama and Lloyds Banking Group called in loans held by Treasury Holdings’ Real Estate Opportunities (REO). Bids were received from Chelsea F.C. with other interested parties including a Malaysian interest, SP Setia, London & Regional, a company owned by the London-based Livingstone brothers and housebuilder Berkeley. If sold, the new owner will have to pay £500 million for the power station, including £325 million to cover the debts held by Nama and Lloyds, and a £100 million contribution to the northern line extension. If the sale is unsuccessful, the agent will have a duty to maintain and preserve the site in line with its listed status. On 7 June 2012, Knight Frank announced that administrators Ernst & Young had entered into an exclusive agreement with Malaysian developers SP Setia and Sime Darby, who were given 28 days to conduct due diligence and agree the final terms of the deal.