Westfield’s parent company has completed a £31.5 million deal to acquire the Whitgift Centre freehold and surrounding properties in Croydon, marking a major step towards the long-delayed £1 billion regeneration of the town centre. Unibail-Rodamco-Westfield (URW), which owns and operates Westfield shopping centres, has purchased the Whitgift Centre, the remaining parts of the former Allders department store it did not already own, and Green Park House near West Croydon Station from the Whitgift Foundation. The acquisition simplifies ownership of one of south London’s largest redevelopment sites after more than 15 years of stalled plans, planning applications, a public inquiry and compulsory purchase proceedings. URW hopes full ownership of the site will allow it to move forward with proposals for a mixed-use development including up to 3,000 new homes, retail, leisure and public spaces across the Whitgift and Centrale shopping centres.
Regeneration plans move closer
The latest deal follows URW’s purchase of Hammerson’s 50 per cent stake in the Croydon Partnership in 2023, giving the developer full control over the regeneration project. The company said it now intends to submit a strategic planning application and continue working with Croydon Council and other stakeholders on improvements to North End and the surrounding area. Adam Smith, Development Director at URW, said the purchase would help unlock the next stage of regeneration.
“This further simplifies the ownership of the Whitgift Centre and Allders site.
“The next steps are to lodge a strategic planning application for the site and to work collaboratively with Croydon Council and other local stakeholders on improvements to North End and the immediate area.
“This site holds strong potential to unlock Croydon as the beating heart of south London.”
Foundation focuses on education and care
The Whitgift Foundation said selling the property would allow it to focus on its charitable work, including funding bursaries, almshouses and care services. Income from the shopping centre has supported the Foundation for decades, but falling rental income and the decline of the town centre have significantly reduced returns in recent years. Chief Executive Roisha Hughes said the decision had been carefully considered.
“As an education and care charity, it’s right that we focus on our schools, almshouses and care provision.
“Simplifying the land ownership in the town centre will positively facilitate the town centre’s regeneration.
“We are confident that the sale will put the Foundation in a very solid position to deliver its core purpose in the decades ahead.”
The Foundation said proceeds from the sale would be invested to generate long-term income for its charitable activities, particularly its bursary programme.
Fifteen years of delays
Plans to transform Croydon’s town centre have been under discussion since 2011 following the London riots, when political and business leaders backed a £1 billion redevelopment centred around the Whitgift and Centrale shopping centres. However, changing retail habits, the growth of online shopping and the impact of the COVID-19 pandemic repeatedly delayed progress. In recent years the Whitgift Centre has become increasingly vacant, with several major retailers leaving the centre while only a small number of temporary units have opened. URW is expected to make the £31.5 million purchase payments over the next five years as it prepares to bring forward its long-awaited planning application. The Whitgift Foundation said the sale had received all necessary approvals, including from its Court of Governors, and described it as a decision that would strengthen both the charity’s future and Croydon’s long-term regeneration prospects.
