Freshfields and Herbert Smith advise on £1bn Land Securities joint venture

Freshfields Bruckhaus Deringer and Herbert Smith have helped Land Securities and Canada Pension Plan Investment Board (CPPIB) establish a joint venture for a £1bn property project in London Victoria.

Land Securities and CPPIB’s 50:50 joint venture, called the Victoria Circle Limited Partnership, will own and redevelop a 5.5 acre site near Victoria Station, with the end value estimated at more than £1bn.

The Victoria Circle development will take around six years to complete and will span almost one million square feet. The development will comprise five new buildings on the island site opposite Victoria Station and will include retail, office and residential spaces.

Freshfields advised regular client Land Securities. Real estate partner John Fordham led on the deal, with real estate head Chris Morris supporting.

Real estate partner Don Rowlands led Herbert Smith’s team advising CPPIB. Herbert Smith has been acting for CPPIB for around 18 months and has advised the fund on numerous joint ventures.

According to Rowlands, CPPIB sees the UK as a key market but is also looking at investments further afield.

“The Victoria Circle development is an integral part of the regeneration of the Victoria area. With the debt markets still challenging the appetite for equity funding from overseas investors remains very strong for prime development projects,” added Rowlands.