Irish property developer Ballymore has partnered with leading UK grocery retailer Sainsbury’s to develop a prime 18-acre site at Ladbroke Grove in west London.
The two groups have combined neighbouring sites in north Kensington for the £1.7 billion (€2 billion) development, which will involve the construction of 2,800 homes, and a modern 130,000sq ft Sainsbury’s store that will include increased capacity for home delivery services.
The partnership will be split 60/40, with Ballymore holding the majority share of the development. Ballymore had owned its portion of the site for a number of years, with it being used by Crossrail for a railway construction project.
Under the terms of the agreement Sainsbury’s will continue to trade from its existing store on the site until the new one opens. The land is part of the borough’s Kensal Canalside Opportunity Area.
Kensal Canalside is one of London’s 38 opportunity areas, which means it is an area with the potential to bring at least 3,500 new homes and 2,000 new jobs.
The scheme will also include a major mixed-use canalside town centre, as well as civic spaces, the restoration of a canal basin, and a range of retail, leisure, cultural, community, small business workspace and educational uses.
The site is considered to be one of the last major brownfield opportunities available in the well-heeled borough of Kensington and Chelsea.
Sean Mulryan, chairman and group chief executive of Ballymore, described the partnership as an “innovative approach” to tackling London’s housing shortage.
“We are pleased to be a step closer to submitting an application and realising our ambitions of a mixed-use scheme that will transform the area. We’ve commenced early consultation with local stakeholders and look forward to hearing directly from local people how they envisage the future site can best suit the needs of the local community.”
New vision
Sainsbury’s property director Patrick Dunne said: “This agreement, which is the result of many years of hard work and commitment across our businesses, represents a momentous opportunity to deliver an exciting new vision for Ladbroke Grove. We have a proud history of serving the local community, and are committed to engaging with our customers and residents throughout this project, which will play a substantial role in the revitalisation of the area.”
Ballymore is a family-run developer established in Ballymore Eustace in 1982 by Mr Mulryan and his wife Bernardine. The Irish company has significant land holdings, with around 10,000 homes currently under construction across the UK and Ireland.
