Hong Kong Investor Buys Site In City With Potential For New Tower By Walkie Talkie
While the London investment market is essentially on hold, not every investor is holding back to see how the impact of the coronavirus plays out. One Hong Kong buyer this week struck a deal that shows significant confidence in the future of London.
Mighty Divine Investments, a family office, has paid £94.2M for the 78K SF 10 Fenchurch Street office building in the City of London. And according to React News, the acquisition could lead to a major new development on the site of the building.
The building has vacant possession in 2025, and React said a feasibility study undertaken for the site showed it could accommodate a new 175K SF, 25-storey tower next to the Walkie Talkie at 20 Fenchurch Street.
Even more intriguingly, another study showed that if neighbouring 60 Fenchurch Street was bought, a 731K SF tower could be built, which would be larger than the Walkie Talkie, for which another private Hong Kong investor paid £1.3B in 2017, the highest price ever for a single office building.
Hong Kong-listed Chuang’s China Investments sold 10 Fenchurch Street. The £94M paid by the new owner is a significant premium to the £79M Chuang’s paid in November 2016 but less than the £104M at which the building was valued in March 2019.
Cushman & Wakefield advised the buyer.