Asian investor in the lead for €970m Southbank Place deal

An Asian investor is in pole position to acquire the newly launched One and Two Southbank Place in London from developer Almacantar, after bidding more than the £875 mln (€970 mln) asking price, according to media reports.

The property is home to the London headquarters of Shell and is also the site of what WeWork calls 'the largest co-working space in the world', with some 6,000 desks. WeWork Waterloo partially launched in July, with the space expected to be fully functioning by October. Both tenants have inked 20-year leases.

Almacantar spent over £550 mln acquiring the project in a forward-purchase deal in 2015. The two buildings represent the office part of the 1.5 mln ft2 (139,354 m2) mixed-use scheme near Waterloo being realised by Canary Wharf Group and Qatari Diar.

In May, Almacantar revealed that it was putting the asset on the market with a £875 mln price tag, representing a 3.89% yield. Sources at the time said that the firm was looking to capitalise on market dynamics.

According to the reports, although the deal has not yet closed, Almacantar is understood to have ceased marketing the asset. Cushman & Wakefield is handling the sale.

The asset was refinanced in February to the tune of £420 mln, in a deal with LGIM Real Assets. 


Latest news

Best read stories