THE GOVERMENT today announced plans for the £8bn redevelopment of Battersea Power Station by its new Malaysian owners, with the revamp due to kick-off as early as next year.
Europe’s largest brick building, which has seen a string of developers try and fail to revive it over the past two decades, was recently rescued from administration by a consortium of developers for £400m.
The joint venture, comprising of Malaysia’s SP Setia, industrial conglomerate Sime Darby and the country’s Employees’ Pension Fund are expected to take full ownership of the 39-acre site in September.
The collossal scheme, which will include hotels, homes, shops as well as two new Underground stations, is expected to have a final development value of £8bn.
More than 20,000 construction jobs and 13,000 permanent posts will be created, UK Trade & Investment (UKTI) announced today as it launched the Global Investment Conference, taking place in central London.
It is the first in a series of summits being held during the Olympics to draw further investment into the UK.
The Mayor of London, Boris Johnson said: “It is brilliant that this historic landmark that helped power London for much of the 20th century will be at the centre of this huge regeneration project that will also help power the capital to even greater economic prosperity in the 21st.”
The prospective owners will use the existing planning consent granted in 2008, which allows for 3,500 homes and 1.7m square feet of office space, as well as for a hotel.
“The Battersea Power Station scheme makes an essential contribution to the Northern Line Extension funding pot”, Ravi Govindia, leader of Wandsworth Council, told City A.M.
“This Tube link is the key to creating 25,000 jobs and unlocking billions in growth across the wider Nine Elms area which is much bigger than just the power station site alone.”
A spokesperson for SP Setia, Sime Darby and EPF, said they expected to provide further details on the scheme once they had finalised the acquisition later this year.