The long running saga of ICL's attempt to outsource the management of its entire UK property portfolio has taken another twist with the news that discussions with the Comax (now part of Amey) led Integrated Workspace Solutions consortium have been terminated. ICL is now in negotiations with Prospero, a consortium led by Chesterton and Bovis Lend Lease, on a deal worth £1bn over 10 years.

ICL pulled out of talks with Nomura two years ago on the outsourcing of its 200,000 sq m portfolio. It then entered discussions with the IWS consortium which included Deutsche Bank and Regus.

ICL says its strategy is to reduce its space requirements significantly and create a new open plan working environment. Outsourcing is expected to deliver this and transfer property risk.
The property and FM world is watching closely, as this would be the world's first 'private sector PFI' for property outsourcing. Some observers remain sceptical however. One industry figure told i-FM, "Almost all of ICL's property is leasehold. The consortium would have to take that on and then offload space when ICL exercised its 'flex' clause – it doesn't add up."

Richard Byatt