A Czech billionaire-backed investment group has emerged as the front-runner to acquire one of London’s highest-profile office buildings, according to a report from Green Street News, in what would be its second major London office deal of late.

KKCG, the investment group controlled by billionaire Karel Komárek, is understood to have submitted a £282M bid for 1 St James’s Square, putting it ahead of rival bidders for the landmark West End office asset. The offer was made alongside development manager YardNine.

The building is owned by Hong Kong-listed Lifestyle International Holdings, which has been weighing whether to sell the property or press ahead with a major refurbishment itself. No agreement has yet been finalised with KKCG.

The latest bid is understood to have surpassed competing second-round offers submitted earlier in May. Other parties believed to have made it through to the final stage include Pembroke, Sixth Street working with LBS Properties, and a private Vietnamese investor.

The sale process has attracted some of the biggest names in global real estate investment. Earlier rounds reportedly drew interest from Brookfield, Blackstone, J.P. Morgan Asset Management, Delancey and Australian superannuation investor Aware Super, with first-round bids reportedly ranging from £250M to £275M.

The 104K SF office building has long served as the London headquarters for BP, although the energy giant is preparing to relocate. BP had originally been due to vacate the building this summer, but a short-term reversionary lease has since been agreed extending occupancy through to April 2028 at a revised rent of £155 per SF.

The extension provides additional income security while leaving scope for a substantial redevelopment of the property. Last year, Westminster City Council approved plans for a major refurbishment programme designed to reposition the building as a top-tier West End office scheme capable of achieving some of the highest rents in the capital.

KKCG has been steadily increasing its London real estate exposure. The group, whose interests span lotteries, gaming, energy and technology, already owns The Burlian after acquiring the office building from Hines for around £200M last year. Komárek’s business also operates the UK National Lottery through Allwyn Entertainment.

Lifestyle International acquired 1 St James’s Square in late 2020 for £250M following a competitive bidding process that pushed pricing above guide levels. The company subsequently appointed JLL and CBRE to explore strategic options for the building, including a potential disposal at a valuation approaching £300M.