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British Land Posts Stronger Profits as AI Demand Revives London Campuses

Strong campus leasing from AI and tech firms should support rent growth despite rising geopolitical and interest-rate risk.

Overview

  • British Land reported on Wednesday that underlying profit for the year to March rose 5% to £294 million and earnings per share increased to 28.9p, slightly above expectations.
  • The company said profit before tax jumped 32% to £450 million and the portfolio value rose about 2% to roughly £10 billion.
  • Leasing across British Land’s campus portfolio hit a multi-year high and office occupancy stood at about 95% while retail parks were nearly full at 99%, reflecting stronger central London take-up.
  • Executives said new demand is being driven by AI and global tech occupiers, with deals linked to firms such as Anthropic and other large tech groups for premium, sustainability-led campus space.
  • Management reiterated guidance for at least 5% EPS growth to 30.5p but warned that renewed Middle East tensions and higher interest rates could weigh on investment sentiment and capital flows.