Our forward sale of the majority of the residential apartments at Rathbone Square, W1 commenced de-risking of the delivery of our largest ever development.
Creating profitable developments whilst managing risk
Following receipt of planning approval for our 408,800 sq ft mixed-used scheme, we launched the pre-sales marketing programme, first in the UK and then overseas, of the 142 private apartments on the commencement of the development in July 2014. To date, we have exchanged contracts to sell 132 apartments at an average capital value of £1,886 per sq ft and ahead of our expectations. The total contracted residential sales proceeds of £228.9 million exceeds the expected remaining total construction costs for the entire scheme, which also includes 20 affordable residential units onsite.
With construction works ongoing and expected to complete in spring 2017, we will shortly be launching the pre-letting campaign for the 214,900 sq ft of modern offices, along with 40,000 sq ft of unique retail space on the ground floor.
The scheme is expected to deliver GPE a profit on cost of 19.2%.