This Week's London Deal Sheet
The Deal Sheet is a weekly compilation of Greater London and beyond's biggest leases, sales, financing deals, construction updates and personnel moves. Have news you’d like to submit? Email mark.faithfull@bisnow.com.
Addington Capital has let the fifth floor of 10 Fleet Place, London EC4 to Simon Kutcher & Partners, the global strategy consultancy firm.
Simon Kucher UK is taking a total of 20K SF, which comprises the whole of the fifth floor, from February 2023. The space has been let on a 10-year lease, with an upward-only rent review at the expiry of the fifth year of the term.
The agents acting on the deal were Ingleby Trice for the landlord and Kinney Green for the tenant.
Earlier this year Addington Capital let 33K SF on two floors to law firm Hogan Lovells. Other tenants in the building include Interpath Advisory, the independent financial advisory business spun out of KPMG; Mott MacDonald, the global engineering consultancy; and CNBC, acquired last year by Comcast.
10 Fleet Place is a 185K SF office building in Midtown. Addington Capital is the Asset Manager for the property on behalf of the the Crosby Group from Hong Kong, which acquired it in 2015.
Ingleby Trice and Savills continue to market the building at a rental level of around £67.50 per SF. Up to 40K SF of office and 4K SF of ground-floor retail space is currently available to let.
INVESTMENT
Department store Fenwick has announced it will close its 130-year-old store on New Bond Street in central London. The store, along with the adjoining property, has been sold to Lazari Investment and will shut in 2024.
In a statement, the company said it would sell the site to fund "significant investment" in its online business and its other stores, while Simon Calver, Fenwick's chairman, said the sale had "been a difficult decision for the Fenwick family".
The department store first opened in London's shopping district in 1891 and following its sale Fenwick will be left with eight stores in the UK. Funds from the sale will go toward making major investments in stores across the country, including at its Newcastle and Kingston branches, the firm said.
Lazari Investment Director David Silverman said its plans for the London site include creating a "mixed-use development".
LEASING
Arax Properties, in partnership with Eurazeo’s real estate team, has completed two more lettings at its Johnson Gardens development in Farringdon, which is already home to electrical goods retailer AO.com's new digital hub in the capital.
Fintech company Codat, which connects small businesses' data to financial institutions, has expanded to occupy the whole of the 32K SF Courtyard Building as its new headquarters. The Academy, a public relations agency, has committed to pre-lease the 6K SF Sweeps Building. Its clients include Amazon, Disney, Morrisons, BT and EE.
Johnson Gardens totals 194K SF of offices around a courtyard garden with a 4K SF communal roof garden. A wellness studio and commuter and visitor cyclist zone has also recently been completed.
Arax and Eurazeo bought the campus in January 2021 for £123M and have repositioned it to become the first Fitwel campus in the UK.
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Landsec has let more than 12K SF of workspace at 30 Eastbourne Terrace to the global services marketplace Bark. This deal takes Eastbourne Terrace to full occupancy, with a further 28K SF of offices being let to various organisations since March, including Orca Computing, CloudKitchens, Denodo, Forescout Technologies and Technology One.
Bark has signed leases for two floors to accommodate its growth. Initially, the services marketplace will occupy 3.3K SF on the ground floor of Eastbourne Terrace, before also taking up residency on the building’s third floor comprising 8.7K SF.
Eastbourne Terrace is opposite Paddington station and the buildings at 10, 20 and 30 Eastbourne Terrace were developed to ‘Excellent’ BREEAM and WELL-enabled credentials.
Advisors included JLL, Bluebook and CBRE.
TRANSACTIONS
Apache Capital Partners has exchanged contracts with a joint venture between Greystar Real Estate Partners, Canada's Public Sector Pension Investment Board and Allianz Real Estate to dispose of a purpose-built student accommodation asset in Shoreditch.
Paul Street was developed by Apache with JV partner McLaren Property with the building being completed in August 2015.
Apache Capital plans to reinvest funds from the sale of Paul Street East of in excess of £160M in its own build-to-rent pipeline with Moda Living, one of the UK’s largest national multifamily pipelines with 6,500 apartments across nine cities.
