John Lewis Partnership has entered into a £500m joint venture with Abrdn to construct new homes.
- The objective is to build around 10,000 new residences in London and Reading.
- This venture marks a significant step towards diversifying John Lewis’s business strategy.
- Properties will be developed over existing Waitrose sites and a vacant warehouse.
- John Lewis aims to enhance its non-retail revenue through this housing project.
John Lewis Partnership has formalised a £500 million joint venture with investment firm Abrdn. This strategic partnership is tasked with delivering approximately 10,000 new homes across London and Reading. The deal represents a substantial move towards John Lewis’s aspiration to diversify its offerings beyond retail.
The construction will focus on redeveloping properties above Waitrose stores situated in Bromley and West Ealing, located in Greater London. Additionally, a vacant John Lewis warehouse in Mill Lane, Reading, will be repurposed as part of this ambitious development.
Nina Bhatia, John Lewis Partnership’s executive director for strategy and commercial development, described the joint venture as a major milestone. She emphasised the importance of creating quality residential homes within communities, highlighting the project’s potential to furnish homes with John Lewis products and provide residents with exceptional service and amenities.
The housing units will accommodate various household sizes and cater to both short and long-term rental needs. This initiative aligns with John Lewis’s broader business strategy revealed earlier in June 2022, which aims to generate 40% of its profits from non-retail activities by the year 2030.
The partnership with Abrdn marks a pivotal advancement in John Lewis’s strategic shift towards non-retail revenue through real estate development.
