Hammersmith and Fulham and Capco complete £105m Earls Court sale

The CLSA allows Capco the option to acquire approximately 22 acres of land in the Earls Court and West Kensington Opportunity Area for £105 million. The terms of the sale require Capco to re-provide the 760 homes currently on the estates, with all qualifying residents of the estates to be offered a new home by the Council within the redevelopment as well as compensation.

The agreement follows the resolutions by the Council and by the Royal Borough of Kensington and Chelsea (RBKC) to grant outline planning permission to the 7,500-home Earls Court scheme last year.

Pinsent Masons, the law firm behind Out-Law.com, advised Capco on the deal.

The decision by the Council and Capco to enter into the CLSA had been subject to an application for judicial review by a local resident. However, a High Court judge refused the application this week. The judge dismissed all four grounds of challenge, including the claim that the Council's consultation process had been flawed.

“The Earls Court project now has great momentum," said Capco investment director Gary Yardley. "Following the resolutions to grant planning consent from RBKC and LBHF last year, we are pleased to have entered into the CLSA with LBHF marking another important step in the ongoing process to create Sir Terry Farrell’s vision for the Opportunity Area."

"We look forward to working with the local community and delivering the Earls Court Masterplan which will create 7,500 new homes and 12,000 new jobs in the area,” he said.

"We believe that the residents living on the estates have negotiated the best deal of any regeneration scheme in the country," said Council leader Nicholas Botterill.

"They will only have to move when their new homes are ready to be occupied. The new homes will be the same area as they are already living in. People will be compensated and we will keep support groups and neighbours together," he said.