Real Estate Opportunities upbeat on Battersea scheme

LONDON, Aug 29 Reuters - The plan to build a 300-metre high 'eco-chimney' on the site of the former Battersea Power Station in London is gaining traction with the public and local planning authorities, according to the firm behind the proposed project.

Real Estate Opportunities Fund Ltd, the AIM-listed property developer behind the 4 billion pound scheme, said it had received "overwhelming public support" for it. The scheme will include 800,000 square metres of space for apartments and offices, a hotel and a six acre park."

"Eleven thousand people have visited the exhibition site, with 2,500 alone last Saturday. Of those questioned, over 70 percent say they are in favour of the project, with only 13 percent against," Robert Tincknell, managing director of the group's UK operations, told Reuters in a telephone interview.

He said on Friday the group had also had "constructive and productive" second-round talks with the Greater London Authority and English Heritage over the scheme.

The scheme has attracted some criticism over the height of the proposed 'eco-chimney', which will provide ventilation and a natural cooling system for the canopied construction project.

"A number of issues have been raised over the technology behind the scheme, but we're confident that as more people learn about the project and become aware of its 'green' credentials it will gain support," Tincknell added.

He said the group hoped to submit a planning application early next year, although the project faces a lengthy consultation process and a full public inquiry before it goes ahead. "If we get all the necessary planning permission we could be on site by 2011," said Tincknell. However, the project is not likely to be completed before 2020.

Real Estate Opportunities Ltd, which is two-thirds owned by Irish property developers Treasury Holdings, bought the Grade II listed Battersea Power Station site in 2006 for 400 million pounds from the Hong Kong-based Hwang family.

The group reported on Friday a pretax loss of 67.95 million pounds for the six months to end-June, which included portfolio revaluation losses.