Lend Lease Group Ltd (ASX:LLC) has announced that its UK public partnership business Catalyst Lend Lease has agreed to sell its 50% interest in Queens Hospital, Romford to HSBC Infrastructure Company for around $43 million.

Catalyst Lend Lease was awarded the 261 million pound Romford contract in January 2004 and worked in partnership with Banking, Havering and Redbridge University Hospitals NHS Trust to open the hospital in November 2006, following a 36 month construction period managed by Bovis Lend Lease.

Lend Lease CEO Steve McCann says Queens Hospital, Romford is one of the company’s flagship UK healthcare schemes.

Mr McCann says the sale of the company’s financial interest in Romford is in line with its strategy of recycling its capital to drive the group’s return on equity and fund future PPP opportunities in the UK.

Completion of the sale is conditional upon consent of the Financial Security Assurance as majority creditor being received.

Completion is expected on December 3 2009. Lend lease posted a $653 million loss in 2009.