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Jack Cooper
Jack Cooper
  • 1 Minute Read
  • 11th July 2013

The Crown Estate Announces Unprecedented Profit.

The Crown Estate, owner of Regent Street, half of St James's in the West End, and an extensive urban and rural portfolio, have announced an unprecedented profit of £253m.

This return on the corporations £8.1bn property portfolio was 11.3% - outperforming the industry benchmark at 9.9% for the fifth consecutive year. Profits were up 5.2% on last year.

The property portfolio, though owned by HM the Queen, is not private property of the reigning monarch, and therefore cannot be sold by her, nor do the revenues from it belong to her - so this impressive profit will not affect the Queen's estate financially. The estate's creation dates back to 1760, when George III surrendered the revenue of the Crown Estate to HM Treasury. In part, he lost all responsibility for the cost of civil government, the national debt accrued by previous monarchs, and his own personal debt. In return, he received an annual grant - a grant that is still in place for the monarchy to this day.

The estate's £5.9bn urban property portfolio has includes some of the most prestigious retail addresses in the country - so many occupiers defied the recession and turned over large profits.

Of course, the jewel in the Crown Estate's portfolio is the Windsor estate. Set in 6,400 hectares of parkland, forest, and housing, it delivered a £7.1m return for the Treasury.

In a recent bid to increase the diversity of their portfolio, the estate has developed an extensive interest in energy and infrastructure projects worth £564m. Offshore windfarms, controlled by the estate, are the largest in the world, with 175m turbines that could power nearly half a million homes.

"Today's results are a ringing endorsement of the quality of our portfolio, our active asset management, and our highly skilled team," said Alison Nimmo, chief executive of the Crown Estate.