Capital unties Properties : Response to speculation

The Earls Court and West Kensington Opportunity Area represents one of the most important development sites in London, covering 77 acres, with the potential to create a new district, delivering thousands of new homes and jobs.

The consented masterplan for the Earls Court opportunity area provides for 7,500 new homes, will create 10,000 jobs and deliver over £450 million of community benefits.

Earls Court Properties represents Capco's interests in Earls Court, all of which benefit from detailed planning permissions and principally comprise:

- 63 per cent interest in ECPL, the investment vehicle with TfL in respect of EC1 and EC2, and including certain assets on and around Lillie Road, with significant progress having been made with the demolition of the exhibition centres and land enablement works;

- 100 per cent of the Empress State Building, which is currently occupied by the Mayor's Office for Policing and Crime;

- 50 per cent interest in the Lillie Square joint venture, with over 230 new homes having been completed already in the first phase.

The independent valuation of these property interests was £1.1 billion as at 30 June 2017.

In addition, in 2013, Capco exercised its option under the Conditional Land Sale Agreement ('CLSA'), a binding agreement in relation to the West Kensington and Gibbs Green Estates. Capco has made £75 million of payments under the CLSA with the two further payments of £15 million to be made at the end of 2018 and 2019. Under the CLSA, all residents will have the opportunity to be rehoused within the masterplan area. We note with disappointment the statements released by London Borough of Hammersmith & Fulham ('LBHF') dated 18 January 2018, regarding the viability of 'the proposed level of density and affordable housing', however as announced on 8 November 2017, we remain in discussions with LBHF in relation to future plans for the Estates, as part of the wider masterplan.

The scheme is the only central London opportunity area of scale with the potential to deliver substantially more housing, and we continue to work collaboratively with all relevant stakeholders to bring forward the Earls Court masterplan in order to generate significant additional benefits for the local and wider London community.

-ENDS-

Enquiries

Ian Hawksworth	Chief Executive	[phone]
Situl Jobanputra	Chief Financial Officer	[phone]
Sarah Corbett	Head of Investor Relations	[phone]

Media enquiries:

UK: Tulchan	Susanna Voyle	[phone]
SA: Instinctif	Frederic Cornet	[phone]

Notes to Editors

About Capital & Counties Properties PLC (Capco):

Capital & Counties Properties PLC is one of the largest investment and development property companies that specialises in central London real estate and is a constituent of the FTSE-250 Index. Capco's landmark London estates at Covent Garden and Earls Court were valued at £3.5 billion as at 30 June 2017 (Group share). The company is listed on the London Stock Exchange and the Johannesburg Stock Exchange.

www.capitalandcounties.com