The joint venture (JV) hopes to redevelop the 1.5 acre office building to create a mixed use scheme which will include a luxury hotel as well as commercial and residential space.
Grosvenor Place is currently held under long lease by Derwent, with the freehold held by Grosvenor, but the two companies have signed a memorandum of understanding to form a partnership to complete the redevelopment.
The nine storey block next to Hyde Park corner currently consists of eight floors of office space with residential space on the top floor, but the 168,000 sqare feet of offices on the site could be “increased significantly”, the developers said.
The JV now needs to apply for planning permission and said that, subject to approval, the redevelopment could commence in 2014.
“We are delighted to work with Derwent London to unlock the potential transformation of this important site which acts as a gateway to Belgravia," Giles Clarke of Grosvenor said.
"Signing this Memorandum of Understanding with Grosvenor is an important step forward in the redevelopment of this prestigious Belgravia site," said John Burns, chief executive of Derwent London.
