GVA Grimley, one of the best-known property agencies in the UK, is limbering up for an eventual initial public offering after selling a minority stake for £40m to Lloyds TSB Development Capital (LDC), writes Jim Pickard.

The deal, which could be announced as early as today, will value GVA at about £175m and provide the funding for potential acquisitions as the property industry enters a prolonged downturn.