Derwent’s Baker Street project enters next phase as rent collection picks up
Derwent London’s ambitious mixed-use Baker Street project entered the next phase as construction firm Erith won the contract on the scheme.
Erith beat other companies to the £3m deal, which will involve knocking down existing buildings on Baker Street, George Street and Blandford Street.
The news comes as the property giant presented its first quarter trading update, which saw increased rent collections and £1.3m of new lettings achieved so far this year.
Derwent has collected around 93 per cent of first quarter day rent, up from 87 per cent in April, with another four per cent expected later in the quarter.
Vacancy rate remained low at 2.3 per cent but was up from 1.8 per cent in December 2020.
Paul Williams, chief executive of Derwent London, said: “We are seeing a marked increase in activity across our portfolio as London is emerging from lockdown and we now have £5.6m of lettings completed or under offer.
“Our occupiers are telling us that they are keen to return to their offices as the economy bounces back.”