* Sells bulk of office portfolio to Brookfield Office
* Post-sale portfolio 97 percent retail
* Sees impact of sale as broadly neutral for 2012 earnings
By Adveith Nair
LONDON, June 19 Anglo-French property developer
Hammerson is selling the bulk of its London office
portfolio to Brookfield Office Properties for 518 million pounds
($812 million), it said on Tuesday, in line with its strategy of
becoming a specialist retail property company.
The company, which announced plans to sell its London
offices earlier this year, said its remaining portfolio would be
97 percent retail following the deal.
Hammerson said it expects to receive a payment of 329
million pounds for 99 Bishopsgate, Principal Place and two
smaller properties by September 30. The sale of the other
buildings, 125 Old Broad Street and Leadenhall Court, will
complete by June 2013 for 189 million pounds, it added.
The total proceeds of 518 million pounds are 5 percent above
proforma book value, Hammerson said.
"We have been able to achieve our goal of becoming a pure
retail business earlier than anticipated by arranging a single
transaction for the majority of our London offices," Chief
Executive David Atkins said.
"At this point in the cycle we can reinvest successfully to
increase scale in our three chosen areas of prime shopping
centres, convenient retail parks and premium designer outlets,"