Out-Law News 1 min. read
13 Feb 2012, 5:22 pm
A development agreement for the redevelopment of the shopping centre was signed last November, which required Southwark Council to work with St Modwen on the proposed regeneration of the shopping centre. The scheme could now include both retail and residential development.
The residential element of the site was identified as a future opportunity with "significant current commercial development opportunity", St Modwen's annual report said.
Following the signing of a development agreement with the Council, the company is now pursuing both a residential and retail development opportunity at the south London shopping centre, the report said.
Under the agreement for the proposed redevelopment of the Elephant and Castle shopping centre, an outline planning application should be submitted by the end of September 2012. A full planning application should then be submitted by November 2014.
St Modwen returned a 34% increase in full-year pre-tax profits and cited asset management and planning gains as factors which contributed to its performance despite the downturn in regional property markets, the report said.
Commercial property outside London continues to suffer under the strain of over-supply and severely dented consumer confidence, however the land-buying market is becoming much more competitive among residential developers, said Bill Oliver, St Modwen’s chief executive.
Although the future of the property market had become “slightly clearer” than it was a year ago, there is still a lot of uncertainty dogging the prospects of a recovery, said Oliver.
