L&S wary of development rush

London & Stamford (L&S) has cautioned against rushing to begin developments in the capital against a backdrop of uncertainty in the market and cuts to government spending.
Raymond Mould, chairman, said the company had reached agreement with joint venture partner Green Park Investments for it to extend its commitment to the partnership by a further £100m.

He also reported L&S, which reported interim pretax profits of £23.2m up from £15.4m, had recently bought two portfolios of prime distribution warehouses for £205m and reached agreement with Green Park for it to take a 50 percent stake in the combined portfolios.

Mould said the company continued to assess a wide range of opportunities to deploy its £1bn of firepower, but remain cautious in its approach. “Our primary aim is to secure high returns on our equity, while also acquiring prime assets let to good quality covenants on long term leases, with opportunities to add value,” he said.