Evolution in the capital markets (TT Apr05 p42-45)

Land Securities’ management initiated a debt policy review in late 2003, to address concerns that the company’s dependence on unsecured debt for future funding could constrain its business. A hybrid approach was developed with Clifford Chance and Citigroup which allowed the Group the flexibility it required to change and develop its portfolio, while providing ratings stability to the company and its investors. The refinancing meant the group had to be restructured, and it was split into two wholly owned sub groups, a Secured Group, and a Non-Restricted Group.