Commercial property companies have enjoyed a successful trading start to the morning (March 7th) on London's premier stock index.
British Land had lifted on the FTSE 100 by 0.02 per cent, while Hammerson's share price climbed by 0.05 per cent as of 08:30 GMT. While trading had only just started so higher rises could be experienced later in the day, it marks an improvement on Monday's performance, when China reined in its gross domestic product expectations, sending commercial property stocks lower.
The sector has enjoyed plenty of positive news of late, especially concerning new developments of London offices
. British Land recently revealed that construction has advanced on the UBS site at 5 Broadgate.
In a joint venture with Blackstone, British Land will deliver a new headquarters for financial giant UBS, with 700,000 sq ft of Grade A space to be provided. The UBS premises will include four trading floors, and with these able to house 750 traders, it will enable the firm to merge its operations into one City building.
George Osbourne, the Chancellor of the Exchequer, recently visited the development to mark the start of construction and commented: "This new site, in the heart of the City, signals the confidence placed in London as the world's leading financial centre. The scheme will benefit not only from the government's Crossrail investment at Liverpool Street station, but will also protect up to 7,000 jobs in the City and create over 5,000 new construction jobs."
British Land's chief executive Chris Grigg added the capital's appeal across the world as a major financial hub is further consolidated by the decision of UBS to push forward with a new headquarters.
The commercial property organisation revealed its financial results last month, with the report noting the pre-let of Aon for 191,000 sq ft of headquarter offices at the Leadenhall Building helped boost its financial performance during the three months to December 31st 2011.
Posted by Sarah Dudley
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