London Cooling: Capital's 12 Big Deals Of Christmas Reveal Mixed Sentiment
The past 12 months might be remembered as a quietly interesting year, or an interestingly quiet one.
Real estate investment in London has risen for the second year in a row as appetite for the capital’s assets returns, according to CBRE. But although it predicts that total investment is set to top £14B in 2025, that’s below the 10-year average of £18.1B — albeit significantly higher than in 2023 and 2024. The prospect of lower interest rates, new provisions to boost housebuilding and increasing return-to-office mandates have helped build confidence.
In our top 12 London deals, ranked using data from Colliers and MSCI, Norway’s famous sovereign wealth fund took two of the top four positions with huge estate acquisitions, and retail featured in over half of the transactions as London regained its appeal as a top shopping location.
Prime offices also attracted buyers, with many of the biggest deals taking place either early or late in the year. But the overall feeling is that a year that promised much has left the jury out on where it sits on the recovery curve.
12. Park House, 16 Finsbury Circus, City
A scheme showcasing a renewed interest in modern offices early in the year, Turkish investor ENKA, advised by Feldberg Capital, acquired Park House from DWS in a deal that completed for circa £185.5M. The City of London office building occupies a prominent position on Finsbury Circus, offers 196K SF of office accommodation and underwent capital investment prior to its sale. DWS disposed of the asset as part of a broader portfolio-rebalancing strategy, while Feldberg Capital is expected to pursue active asset management, including lease regearing and improved sustainability.
11. Brent Cross, North London
In May, Hammerson confirmed the acquisition of Brent Cross. It took ownership of 95% of the units in the Aberdeen UK Shopping Centre Trust, which held the 59% of Brent Cross it did not already own, for a net cash consideration of £186M. With the acquisition of Westquay in November 2024, that means that since the sale of designer outlet business Value Retail at an exit cash yield of 3.4%, Hammerson had redeployed £321M into consolidating control of its assets.
10. The Burlian, 80 New Bond Street, West End
Aliwyn Entertainment completed the £195M acquisition of The Burlian at 80 New Bond Street from Hines in March. The property is a prime retail building positioned on London’s most prestigious luxury shopping street. Arranged over lower ground, ground and five upper floors, the building has dual frontage onto both New Bond Street and Oxford Street. Hines repositioned the asset prior to sale and signed U.S. fashion retailer Abercrombie & Fitch in what was one of the largest West End retail deals of the year.
9. 2-3 Finsbury Avenue, City
Modon Holding acquired a 50% stake in the equity of 2-3 Finsbury Avenue from British Land for £200M in Q1. The building forms part of the Broadgate estate. Broadgate REIT, a British Land and GIC joint venture, formed a new joint venture with the Abu Dhabi-based holding company for development of the 750K SF, £1.4B scheme, each retaining 25% ownership. The deal marked Modon’s first entry into the UK real estate market, and completion of the scheme is anticipated in 2027.
8. Worship Square, City
Hines acquired Worship Square, a newly built, Grade A office building at 65 Clifton Street in the City of London, from HB Reavis in an off-market transaction for a scheme that had guided at circa £200M. The 139K SF property offers workspace across nine floors with terraces and amenities. The building was completed by HB Reavis in 2024 and is 97% leased to occupiers, including Wise and Frontier Economics, while a mix of flexible workspace is available, with the lower ground and basement floors managed by HB Reavis’ HubHub, plus 3.8K SF of ground-floor retail space.
7. 102 Petty France, Westminster
The Arora Group completed its acquisition of the 525K SF 102 Petty France, Westminster in early 2025 for approximately £250M from Landsec. The office building overlooks St James’s Park and is currently let to the Ministry of Justice for three years until its planned closure in 2028 as part of the UK government’s Plan for London. Arora plans to convert the property into hotel and residential use at expiry of the lease and will work up planning over the term of a £175M loan provided by Aviva Investors. Arora was advised on the facility by CBRE.
6. 1 Newman Street, West End
Royal London Asset Management completed the acquisition of 1 Newman Street from GPE for £250M in Q3 following the conclusion of the latter’s asset management strategy. The transaction was executed as a single-asset sale and attracted strong institutional interest for a property located close to Tottenham Court Road. The company’s acquisition of the 121K SF office and retail space at a 4.5% yield was another deal that helped underline that institutional buyers are back in the market.
5. 150 New Bond Street, West End
Luxury retailers buying their own stores in luxury locations is a well-trodden path and Prada completed the £250M acquisition of 150 New Bond Street from M&G Real Estate in February. The transaction involved the freehold purchase of the circa 20K SF flagship retail building that Prada occupies for its Miu Miu brand, handing it long-term operational control. M&G disposed of the asset as part of portfolio management activity.
4. Grosvenor Mayfair Estate, Multiple Locations
Norges Bank Investment Management has been a longtime advocate of the West End and acquired a £306M interest in the Grosvenor Mayfair Estate in the first quarter of the year. The transaction involved a minority 25% stake in a portfolio of prime mixed-use assets across Mayfair, and the deal followed NBIM’s established strategy of partnering with long-term estate owners, notably The Crown Estate. The £1.2B portfolio consists of 175 market rent and long-leasehold buildings for which Grosvenor has continued to act as asset, property and development manager. But it wasn’t NBIM’s biggest deal of 2025 …
3. Baker & McKenzie Building, City
Helical and a vehicle managed by Orion Capital Managers completed the £333M forward sale of its 100 New Bridge Street City of London office development in an owner-occupier transaction. While the buyer was not officially disclosed, U.S. bank State Street was the party in talks to acquire the building. Helical said the disposal will conclude on practical completion of the building, which is expected in April 2026. Helical and Orion Capital Managers are continuing to deliver the development of a scheme that will comprise 195K SF of offices over 10 storeys. Helical and Orion Capital Managers were advised by Knight Frank and Ingleby Trice. JLL advises State Street Bank.
2. 70 St Mary Axe, City
They may have left it late in the year, but alternative asset management platform Hayfin Capital Management, in partnership with Capreon, acquired 70 St Mary Axe in the City of London from Nuveen Real Estate for an undisclosed sum, estimated at £335M. The 21-storey, 315K SF Grade A office tower was developed by Nuveen and opened in 2019, receiving BREEAM Excellent certification. The transaction was majority-funded by Hayfin and supported by Capreon, with which Hayfin has worked on real estate investments since 2017. In addition to its investment, Capreon will be the asset manager.
1. Shaftesbury Capital, Covent Garden
Norway may be best known at this time of year for supplying Trafalgar Square’s Christmas tree, but, earlier this year, the country’s sovereign wealth fund was more in the mood for a shopping spree. NBIM not only came in at our No. 4 but also topped the tree after it completed its £570M acquisition of a 25% stake in Shaftesbury Capital’s Covent Garden portfolio in March. The deal valued the 1.5M SF portfolio at nearly £2.7B and comprises mostly retail and leisure around the enormously popular Covent Garden and Seven Dials areas. It also meant retail featured or led the majority of our top 10 deals in 2025 — not something many would have predicted 12 months ago.
