The business consists of a portfolio 5,500 properties, the majority of which are spaces in railway arches, including Old Union Yard, Southwark (pictured above).

Most of the properties will be sold on a leasehold basis with Network Rail retaining the freeholds due to the fact that access to them will be required for the future operation of the railway.

Private bidders are being sought to purchase Network Rail’s commercial property portfolio and the sales are expected to create a significant injection of cash to the taxpayer-owned company.

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Mark Carne, chief executive of Network Rail, said: “This deal will bring more investment into the commercial estate for the benefit of the local communities and it will help fund a better railway.

“I hope to see areas around the railway positively transformed with new and refurbished shops, amenities and extra facilities for local people and passengers.

“The sale will bring a major cash boost to help fund key projects across England and Wales as part of the Railway Upgrade Plan.”

Network Rail is one of the largest providers of small- and medium-sized business space in the UK and is now delivering almost a quarter of all infrastructure investment in the UK – £130m every week.

The funds generated from the sales will contribute to large infrastructure projects such as the Thameslink Programme, the Great North Rail Project, Crossrail, and the Waterloo and South West upgrade.