GCIHelical reports progress across development pipeline
reported significant progress across its development pipeline and investment portfolio in a trading update on Monday, particularly in its London office projects.
The London-listed firm said its 'carbon-friendly' office development at 100 New Bridge Street, EC4, was now under construction with completion expected in April 2026.
It said the project was backed by a joint venture with Orion Capital Managers and a £155m development facility agreement with NatWest and an institutional lender.
Work had also started on the repositioning of Brettenham House, WC2, with the project set to complete by April 2026.
Additionally, the eight-storey office development at 10 King William Street, EC4, had made progress, with basement construction underway and completion targeted for December 2026.
Future projects included a planning application submitted in September for a student accommodation and affordable housing scheme in Southwark, SE1, as well as a 19-storey office development near Paddington station, W2.
The Paddington project, scheduled for site acquisition in 2026, would provide 235,000 square feet of office space and was undergoing design refinements to enhance sustainability and user experience.
Helical said the JJ Mack Building, EC1, had meanwhile seen lettings of 44,103 square feet of office space and 1,521 square feet of retail space, bringing overall occupancy to 90%.
Meanwhile, The Tower at The Bower, EC1, was undergoing refurbishments with strong interest from prospective tenants, and new leases had been signed, including with a US cybersecurity firm.
Occupancy at The Loom, E1, had improved, with vacancy falling from 34.9% to 27.4% since March.
Helical said it had completed several property sales, including 25 Charterhouse Square for £43.5m and The Power House for £7m.
The company also sold a 50% stake in 100 New Bridge Street for £55m through a joint venture with Orion Capital Managers.
In terms of financing, Helical renewed its £210m revolving credit facility (RCF) for a further three years, with options to extend, and secured new interest rate swaps at an average rate of 1.58%.
The company said it had drawn £188m under the RCF, with an all-in interest rate of 4.0%.
"It has been a busy six months during which we have made good progress delivering on the targets we set ourselves earlier this year," said Helical's new chief executive officer, Matthew Bonning-Snook.
"Construction is now underway on three new office schemes, with plans progressing at the remaining future development sites.
"A new revolving credit facility is in place which pushes out our debt maturity, and proactive management of our investment portfolio is reducing vacancy."
Bonning-Snook said the company would continue to recycle its portfolio as market conditions allow, providing funds for its future pipeline as well as containing its gearing levels.
"The market appears to be moving in our direction, with our best-in-class office developments due to deliver into a supply constrained 2026."
At 0917 BST, shares in Helical were down 0.35% at 212.75p.
Reporting by Josh White for Sharecast.com.
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