Hong Kong-listed Far East Consortium International Limited (FEC) has signed an agreement with Capital & Regional PLC, a UK focused retail property REIT, in relation to the co-development of future residential developments on or around some of its retail properties.
The partnership will focus on identifying and realising the development opportunities at and around Capital & Regional’s existing assets to deliver primarily residential focussed property developments.
The partnership will also collaborate to seek new opportunities where the collective expertise and resources of the partnership could be utlised in delivering retail and residential potential.
“FEC has a vast experience in delivering high density schemes in the United Kingdom and working closely with local councils and boroughs. We have identified two immediate potential opportunities and will work closely with Capital & Regional to explore how we might jointly deliver high quality residential properties within their London portfolio, which are already well served by existing retail amenities and transport links. Residential developments also provide an additional clientele to retail properties and enhance existing communities and therefore help drive income of occupiers. We are delighted to have signed this exclusivity agreement with Capital & Regional as we sincerely believe that our interests are aligned and that we can add significant value to each other,” said Chris HOONG, Managing Director of FEC.
”Both FEC’s and our own management team recognise the importance of sustainable mixed-use urban environments that enhance the sense of place and serve their local communities. The combination of our existing skills and resources will help to unlock further opportunities to create these across, and potentially beyond, our existing estate,” said Lawrence HUTCHINGS, CEO of Capital & Regional.
”We have already demonstrated that residential can play an integral role in repositioning existing retail property, especially in greater London, and are therefore pleased to formalise our relationship with FEC, having known the business well for several years. We believe this agreement is a further demonstration of our team’s ability to take a highly innovative approach to the management of our community centres and the potential our portfolio offers,” he added.
Capital & Regional owns seven shopping centres in Blackburn, Hemel Hempstead, Ilford, Luton, Maidstone, Walthamstow and Wood Green.