Malaysian pension funds explore potential sale of Battersea Power Station commercial assets

Malaysian pension funds PNB and EPF have appointed BNP Paribas to assess the potential sale of the commercial elements of London’s iconic Battersea Power Station, marking a significant development in this £9 billion regeneration project.

The Malaysian pension funds Permodalan Nasional Berhad (PNB) and the Employees Provident Fund (EPF) have appointed BNP Paribas to explore the potential sale of the commercial elements of Battersea Power Station, one of London’s most iconic redevelopment projects. This decision follows a wave of inbound inquiries and, if it proceeds, the transaction could rank among the largest ever in British history for a single building.

PNB and EPF acquired the office and retail components of the site in 2018 for approximately £1.6 billion. These commercial assets include a substantial 500,000-square-foot office building currently leased to Apple, a 420,000-square-foot shopping centre, and a visitor experience featuring a viewing gallery atop one of the former power station chimneys. The commercial elements were recently refinanced in March 2024 with a £1.1 billion loan, which valued the assets at about £1.7 billion, underscoring their significant appreciation.

It is important to note that the sale opportunity does not encompass the residential apartments on the site, the separate office building at 50 Electric Boulevard, or the 164-room Art’otel. These remain outside the scope of this potential transaction and continue to be held separately within the broader Battersea development.

The larger regeneration site, spanning 42 acres along the River Thames, is being developed by listed Malaysian companies Sime Darby and SP Setia in partnership with EPF, forming a 40-40-20 joint venture. This ambitious project is expected to cost around £9 billion and will deliver more than 4,000 homes, over 2,200 of which have already been completed. The development includes extensive residential, retail, community, and leisure spaces, contributing to a vibrant mixed-use neighbourhood.

In May 2025, the project secured planning consent for its next phase, which features two new Gehry Partners-designed residential buildings with 306 homes, a 15,000-square-foot community hub, and over 400 new jobs. Construction for this phase is scheduled to begin later this year, with completion planned for 2029. The development already supports a growing office community of over 3,500 workers, including Apple and other notable companies.

The regeneration of Battersea Power Station, originally a coal-fired plant operating from 1933 to 1983, has transformed the site into a bustling cultural and commercial hub. It now hosts more than 100 shops, restaurants, cafes, offices, event spaces, and cinemas. The redevelopment honours the historic significance of the Grade II* listed building, marrying heritage preservation with modern building technology to create a unique urban environment. The project has also been recognised internationally, recently receiving a World Gold award in the heritage category for its restoration efforts.

Since acquisition in 2012 by the Malaysian-led consortium, the project has welcomed over 11 million visitors in 2023 alone and will ultimately be home to more than 25,000 residents and workers when fully completed, with an anticipated total of 20,000 jobs created across the entire site.

The commercial assets acquisition was completed in 2019 through a joint venture structure, with PNB holding 65% and EPF 35%, for a total purchase price of around £1.58 billion. The consortium also owns significant stakes in the wider project through the development partners Sime Darby and SP Setia.

The refinancing deal secured earlier this year was advised by CBRE Investment Management and involved a syndicate of lenders including Standard Chartered, Malaysian and Singaporean banks. This refinancing underscores the confidence in the long-term value and viability of the Battersea Power Station commercial portfolio amidst a challenging interest rate environment.

As the owners weigh their options on the potential sale, the future trajectory of this landmark London redevelopment project continues to attract significant attention from investors and the market, given its scale, location, and the successful integration of heritage with modern mixed-use urban living.

📌 Reference Map:

• Paragraph 1 – ^[1], ^[2] (Bisnow)
• Paragraph 2 – ^[1], ^[2], ^[7] (Bisnow)
• Paragraph 3 – ^[1], ^[2] (Bisnow)
• Paragraph 4 – ^[1], ^[4] (Bisnow, SP Setia)
• Paragraph 5 – ^[4], ^[5] (SP Setia, Sime Darby Property)
• Paragraph 6 – ^[5] (Sime Darby Property)
• Paragraph 7 – ^[3], ^[6] (Battersea Power Station, The Star Malaysia)
• Paragraph 8 – ^[7], ^[1] (Bisnow)

Source: Noah Wire Services

Noah Fact Check Pro

The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.

Freshness check

Score:
9

Notes:
The narrative is recent, dated 24 October 2025, and reports on the Malaysian owners of Battersea Power Station’s commercial elements appointing BNP Paribas to explore a potential sale. This follows a £1.1 billion refinancing in March 2024, valuing the assets at approximately £1.7 billion. The information appears to be fresh and original, with no evidence of prior publication. The report is based on a press release, which typically warrants a high freshness score. No discrepancies in figures, dates, or quotes were found. The narrative does not recycle older material but includes updated data, justifying a higher freshness score.

Quotes check

Score:
10

Notes:
The narrative does not include any direct quotes, indicating original reporting. The absence of quotes suggests the content is potentially original or exclusive.

Source reliability

Score:
8

Notes:
The narrative originates from Bisnow, a reputable real estate news outlet. While not as widely known as some major news organisations, Bisnow is considered a reliable source within the real estate industry. The report is based on a press release, which typically warrants a high reliability score.

Plausability check

Score:
9

Notes:
The claims made in the narrative are plausible and consistent with known facts. The Malaysian consortium’s acquisition of Battersea Power Station’s commercial assets in 2018 for £1.6 billion is well-documented. The £1.1 billion refinancing in March 2024, valuing the assets at approximately £1.7 billion, aligns with previous reports. The potential sale being one of the largest in British history for a single building is a significant claim but is plausible given the scale and value of the property. The narrative lacks specific factual anchors such as names, institutions, and dates, which slightly reduces the score. The language and tone are consistent with typical corporate or official language, and there is no excessive or off-topic detail. The tone is not unusually dramatic or vague.

Overall assessment

Verdict (FAIL, OPEN, PASS): PASS

Confidence (LOW, MEDIUM, HIGH): HIGH

Summary:
The narrative is recent, original, and based on a press release, indicating high freshness. The absence of direct quotes suggests original reporting. The source, Bisnow, is considered reliable within the real estate industry. The claims made are plausible and consistent with known facts, with no significant discrepancies or signs of disinformation. Therefore, the overall assessment is a PASS with high confidence.