Network Rail considers sale of £1bn commercial property portfolio

Fri, 17 Nov 2017 | COMMERCIAL PROPERTY

Network Rail is making plans to sell its commercial property portfolio, in the first stage of efforts to shore up the infrastructure operator's struggling finances.

The state-owned group's collection of more than 5,500 commercial properties in England and Wales is estimated to be valued at around £1bn. The majority of these properties are spaces in railway arches and will be sold on a leasehold basis to ensure Network Rail continues to have access to its infrastructure at short notice.

The decision to sell the commercial estate business as one portfolio comes more than two years after Network Rail first appointed Rothschild to evaluate its property business. The company hopes this deal will help to raise billions that can then be invested in the operator's railways after they've seen intense criticism from the UK rail watchdog for poor management, missed punctuality targets and a slow approach to modernisation.

The group's debt has continued to rise since it was effectively re-nationalised. A sale would be the first significant asset disposal since Network Rail’s debt was shifted on to the government’s balance sheet in 2014, restricting the operator’s ability to borrow money.

Mark Carne, chief executive at Network Rail, said the latest asset sale would allow it to focus on its core business of running the railway. “It’s a tangible example of our approach to capital discipline, our approach to living within our means, recognising that we have to behave like a business and if our growth ambitions exceed our funding then we have to look at other ways of raising funding.”


Share this article



Latest Businesses for Sale

Upholstered Furniture Manufacturer (Fast Sale)
UK Wide

Best and final offers are sought by Thursday 12 December 2019. An opportunity exists to purchase the business and assets of a privately owned company. An upholstered furniture manufacturer offering a wide variety of designs and ranges.

Asking Price: Offers Invited
Turnover: £1,680,000

Italian Restaurants (Fast Sale)
North West, UK

Indicative offers are required by 17:00hrs on Wednesday 27 November 2019 with a view to completion shortly thereafter. The proposed Joint Administrators are seeking parties interested in the business and assets of two Companies that trade as Italian...

Asking Price: Offers Invited
Turnover: £1,000,000

LEASEHOLD


Loft Conversion Business
Preston, Lancashire, UK Wide

Great reputation. Fully relocatable. Friendly and professional service. Bespoke loft conversions. Minimal competition. Offered on a relocatable basis. Offers invited.

Asking Price: £759,995
Turnover: £1,002,527

RELOCATABLE



View more businesses for sale

News Search

Latest News

 
22
 
Nov
 

inTec Business Solutions acquires Titan Network Services | BUSINESS SALE

Manchester-based IT services company Titan Network Services ...

 
21
 
Nov
 

Buyer sought as North East contractor enters administration | ADMINISTRATION

A buyer is being sought for Pro-Fix Installations after the ...

 
20
 
Nov
 

Swindon waste-to-gas plant construction to resume after administration | ADMINISTRATION

An unfinished waste-to-gas facility in Swindon has secured &...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide

Email


Related News

 
22
 
Nov
 

inTec Business Solutions acquires Titan Network Services | BUSINESS SALE

Manchester-based IT services company Titan Network Services ...

 
21
 
Nov
 

Buyer sought as North East contractor enters administration | ADMINISTRATION

A buyer is being sought for Pro-Fix Installations after the ...

 
20
 
Nov
 

Swindon waste-to-gas plant construction to resume after administration | ADMINISTRATION

An unfinished waste-to-gas facility in Swindon has secured &...

Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources