The site already has outline planning permission and an agreed Section 106 for a combined office and residential development with a GDV exceeding £750m.
Lincoln MGT is a strategic joint venture between the US developer Lincoln Property Company and UK based MGT Investment Management and it is understood to have paid around £70m for the opportunity.
Philip Hunter, Director at LSH who advised on the deal for Lincoln MGT comments, “We are thrilled that the introduction of this major south east development opportunity has resulted in Lincoln MGT’s first UK acquisition. Having worked closely with our client throughout the purchase process, it is exciting that we are now in a position to finally bring this scheme forward. Station Hill has laid dormant far too long, and its development will be the next major step in Reading's dramatic transformation. “
The joint venture said in a statement it combines the commercial and residential development experience and skills of Lincoln Property Company, which is one of the largest full-service real estate companies in the United States, with the pan-European investment experience and strategic focus of MGT Investment Management.
Henry Morris, Manging Director at MGT Investment Management said, “We are delighted to have secured this outstanding mixed-use development site, which is the first investment for Lincoln MGT in the UK. The Lincoln MGT partnership brings complementary skill sets to the joint-venture with MGT leading on acquisition and investment management, and Lincoln Property Company leading on development, construction, leasing and property management.”
Troy Javaher, Managing Director of the European operations at Lincoln Property Company said, “The site occupies an incredible location next to Reading station, which has benefitted from a massive infrastructure improvement in recent years with the station’s redevelopment and the expected delivery of Crossrail’s Elizabeth line in December 2019. We understand the strategic importance of this development to Reading’s continued evolution and we look forward to working with the council and stakeholders to bring forward an outstanding mixed-use development in the near future.”
David Camp, Chief Executive of Stanhope plc, said: “Sackville Developments Reading Ltd (SDRL) is pleased to confirm that it has sold its interest in the Station Hill development to Lincoln MGT. SDRL has prepared the site for development, including demolition and other works and the creation of a successful temporary events space and the Biscuit Tin coffee shop for the community. We have worked very effectively and closely with Reading Borough Council over many years to ensure that the redevelopment brings forward the maximum benefits of regeneration to the area around the station and we are delighted that it is in safe hands with the new owners to deliver this fantastic scheme for Reading.”
Lincoln MGT was advised by LSH and Knight Frank. The vendor was represented by CBRE.