Malaysians win the battle for Battersea Power Station

The Malaysian property giants SP Setia and Sime Darby Asian have exchanged contracts to buy the 39-acre Battersea Power Station site from receivers Ernst & Young for £400m.

The Malaysians beat other suitors, including Chelsea Football Club, to become the preferred bidders for the site in May.

Unlike other bidders, who suggested they would resubmit new schemes, the winning consortium plans to press on with the existing planning consent which includes 3,700 homes, 1.6 million sq ft of offices and 500,000 sq ft of shops and restaurants.

Its chief executive Tan Sri Liew Kee Sin said last month that the project could be built more quickly than the 15 years envisaged by previous owner Real Estate Opportunities. He added the site could be worth up to £10bn when completed, £2bn more than previously estimated.

The first phase will be to build homes which be marketed to Asian buyers next year.