The bulk of the 158,000sqm development has been sold by Madejski's Sackville Developments (Reading) to a buy-out group comprising US private equity real estate firm Benson Elliott and UK developer Stanhope.

According to the FT, the sale price was lower than the outstanding liability with Lloyds Banking Group, which will record a loss on the former HBOS debt. Madejski will reportedly retain a minority stake and share in future profits.

The Station Hill redevelopment, which sits alongside Reading Station and has a developed value of more than £400m, was the largest scheme owned by Madejski.