London Underground could lose millions of pounds in future property revenues because of mayor Ken Lingstone's faile...
London Underground could lose millions of pounds in future property revenues because of mayor Ken Lingstone's failed legal challenge over privatisation, reported The Independent on Sunday (Business, p1).
His intervention delayed a£2bn plan to sell off the London Underground's surplus property. A senior source involved in the project told the newspaper that up to 10% may have been wiped off the portfolio's value because of the recent fall in property prices.
It is understood Land Securities, the UK's largest quoted property company and one of the parties shortlisted to buy the property, is revising its sums. The deal, known as London Underground Property Partnership, was first mooted in November 1999. A preferred bidder was to be selected in January this year. But the mayor's legal challenge to government plans to part-privatise parts of the Tube network put the property deal on hold.