New rental homes to replace some existing shopping centres

One of the country’s largest commercial and retail landlords - Capital & Regional - is to expand is current programme of building residential homes on existing shopping centres.

In a trading statement to shareholders the company - which specialises in in-town retail centres - says rental homes are already set to be located on or within Capital & Regional’s existing shopping mall at Walthamstow in London.

“Unlocking further value from the portfolio through a mix of uses is another key initiative where we have made good progress, with the planning consent for our Walthamstow residential project taking us one step closer to a significant capital receipt” says chief executive Lawrence Hutchings.

“Our confidence in the potential to unlock further value from high density residential and use diversification across our asset base has encouraged us to enter into a ground breaking partnership agreement with Far East Consortium to explore opportunities across both our businesses.”

Hutchings has suggested this could include homes on existing sites, including in car parking and loading areas where appropriate and when consent is granted.

The company’s trading statement says the deal with Far East Consortium will mean the two businesses working together “to identify and develop new residential opportunities across the group’s portfolio of shopping centres. This follows on from the successful disposal of a land plot at Wood Green [in London] and the existing Walthamstow residential opportunity.”

Capital & Regional owns seven shopping centres in Blackburn, Hemel Hempstead, Ilford, Luton, Maidstone, Walthamstow and Wood Green