Huge premises in north-west London
LSL Partners and Central & Provincial Partners have teamed up with Select Alternative Investments and Eastborough Partners to acquire the former Diageo headquarters at 1 Lakeside Drive NW10 in Park Royal, London.
The 300,000 sq ft building is located within a 40-acre private landscaped estate, once the former Guinness Brewery, which had operated from the estate since 1933 until its closure in 2005.
Park Royal is undergoing a £26 billion regeneration plan and a transformation into a world-class transport interchange, with the introduction of a High Speed 2 (“HS2”) terminus nearby set for delivery in 2030.
The property was built to an extremely high specification including a spectacular full-height atrium, and benefits from excellent transport links through close proximity to Park Royal and Hanger Lane tube stations and the A40. Retaining the building allows the most sustainable and low-carbon form of development, and the JV plans to work with the Old Oak and Park Royal Development Corporation (OPDC) to bring forward proposals to reposition the property into a vibrant mixed-use scheme focused around a high-amenity hotel and other commercial uses.
Regeneration of Park Royal continues
The partnership group believes the repositioned asset will complement the regeneration of the area, which has seen over 1,200 homes already delivered within the business park.
These new proposals seek to deliver material public benefits while minimising the environmental and carbon impact of the development through the preservation of this magnificent former FTSE100 HQ building.
Mark Tagliaferri, Chairman of LSL Partners, said:
“LSL Partners is delighted to have initiated, arranged and invested in 1 Lakeside Drive in a joint venture with Central & Provincial Partners and to have brought in Select Alternative Investments and Eastborough Partners to join the JV to acquire this high-quality asset which is perfect for conversion to a high amenity hotel.
“This investment highlights the current focus of LSL Partners to acquire and convert existing property assets into better alternative uses. We hope to continue this strategy in 2024 with our current joint venture partners and other investors interested in this strategy which we believe has very attractive risk-adjusted attributes.”
