Transport for London has chosen London developer Helical to progress to the preferred bidder stage for its commercial office portfolio joint venture, subject to contract negotiations and a 10-day standstill period.

The portfolio will include three over-station development sites:

Bank Over-Station Development is located above the new station entrance on Cannon Street, this eight-storey development, along with a basement, will include both office and retail space, measuring around 140,000 sq ft. Net Internal Area (NIA), external terraces on the fifth, sixth and seventh floors and a green roof. A start on-site is expected in 2024.

Paddington Over-Station Development is located by Grand Union Canal and close to the new Elizabeth line station at Paddington, this 19-storey building currently has permission to deliver new office and retail space measuring around 235,000 sq. ft. NIA. It will include a canal-side reception and use a ground and air source heat pump system. A start on-site is anticipated in 2026.

Southwark Over-Station Development is located above Southwark Tube station on the Jubilee line, this 17-storey hybrid timber building is set to be one of the greenest and healthiest large-scale commercial buildings in the UK. Measuring around 220,000 sq. ft. NIA, it will provide a mixture of commercial office space and retail space and has external terraces on most floors. It is expected that construction would start in 2025.

The joint venture company will acquire leasehold interests in the sites from TfL and establish individual property companies for each of the sites. The sites will then be developed directly by the company, which will be funded with equity and debt.

Matthew Bonning-Snook, Property Director at Helical commented: "This is a hugely exciting opportunity for us to partner with one of London's largest landowners to deliver three superbly located schemes, with an ambition to bring forward additional schemes within this long-term joint venture. The intention is to deliver c. 600,000 sq ft of much needed sustainable, best-in-class office space incorporating smart technology, high-quality amenities with a focus on occupier wellbeing and adopting modern methods of construction in their delivery."

Scott Anderson, Head of Property Development at TTL Properties Ltd, added: "We're delighted to have selected Helical as our preferred investment partner as we take forward our commercial office portfolio and create best-in-class commercial office workspaces that reflect our confidence in London and will positively impact the capital and its green recovery.

"This new joint venture complements our wider commercial development programme, which will see us deliver thousands of new and affordable homes in London, develop our estate to support small businesses and train the next generation entering the construction industry. This partnership will also help deliver operational benefits and generate vital additional revenue, which can be reinvested into the transport network and help fund a safe, green and reliable public transport network." 

TfL is being advised by JLL, Newbridge Advisors and Herbert Smith Freehills. Helical is being advised by Knight Frank and Clifford Chance.

Helical's developments include Barts Square EC1, Tik Tok's head office Kaleidoscope EC1 and One Creechurch Place EC3.