Financial resilience is essential to protecting and growing the Letchworth estate for future generations. Through active asset management, investment, development and sustainability initiatives, we’re working to strengthen the estate’s long-term financial future while meeting the changing needs of the town.
For the latest updates on our projects and progress towards this aim, visit our Our Impact page, updated quarterly to reflect our ongoing work and achievements.
2025 Highlights
- Property investment and income: Retained £1.21 million through existing commercial tenants and lease renewals, and welcomed new businesses across retail, office and industrial spaces.
- Asset disposals: Generated £3.6 million through property disposals, alongside £12.8 million from the sale of LG3.
- Housing development: Sold the LG3 site to Barratt David Wilson North Thames, with development scheduled to begin in 2026. Plans include high-quality landscaping, biodiversity improvements and enhanced walking links.
- Energy and sustainability: Switched to a deep green electricity provider, improved energy monitoring at Spirella and began assessing energy savings from high heat retention storage heaters.
- Team development: Strengthened our leadership and project delivery capacity through new appointments, internal promotions and an expanded apprenticeship programme.
Progress Against Strategy 2028
- Property vacancies: Voids across our industrial, office, retail and residential portfolios reached 12.2% at Q4 2025, reflecting ongoing market pressures.
- Tenant arrears: Reduced arrears by £2,000 to £1.2 million, with average arrears representing 4.4% of annual rent roll.
- Energy efficiency: All residential properties remain compliant with current EPC requirements (grades A–E). At Q4 2025, 56% of residential and 54% of commercial properties met the target EPC rating of A–C for new lettings.
Priorities for 2026
- Reduce commercial property vacancies to 8%.
- Deliver a £4 million maintenance programme to maintain and improve the estate.
- Sell £8–£12 million of underperforming property assets, reinvesting in opportunities that support stronger income growth.
- Progress the Town Plan, including the anticipated sale of the LG1 housing development site later in 2026.
- Advance early-stage design work for key buildings, including Spirella and Broadway Cinema & Theatre, to inform future investment and decarbonisation plans.
Through these priorities, we aim to strengthen financial resilience, maximise value for Letchworth and protect the Garden City’s legacy for generations to come.
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