Workspace sells two London residential developments for £20.75m

FTSE 250 property company Workspace has sold two residential developments in Southall and Wandsworth in order to fund a pipeline of refurbishments projects.

The company sold the London sites for a combined £20.75m in cash and 17,00 square feet of new commercial space.

The Arches Business Centre in Southall was sold to Galliard Homes for £13m, at a 52% premium to the 31 March valuation as the Workspace had obtained planning consent at the west London site for 110 residential units.

The residential element of the second phase of The Light Bulb property in Wandsworth, south London was sold to property developer Strawberry Star for £7.75m, which includes planning permission on a vacant site for 77 residential units, with no affordable element, and 17,000 square feet of commercial space.

Chief executive Jamie Hopkins said the sales demonstrated the ongoing demand for the residential schemes and the company's ability to continue to generate significant value from its portfolio.

“The proceeds from these disposals will be used to progress our refurbishment pipeline and we look forward to receiving the new commercial space at The Light Bulb, which will be a great addition to our existing successful business centre."

Workspace owns and manages around 65 properties across London and is home to about 4,000 companies.