Barings Real Estate has provided a €48,4m (£43,2m) loan to support the freehold acquisition of 165 Fleet Street in the City of London. The borrower is part of a large financial services group based in China.
165 Fleet Street was built in 1955 and has gone through extensive renovations and upgrades since 2005. The property comprises c. 67,562ft² of office accommodation over eight upper floors as well as a self-contained retail unit that fronts Fleet Street. It is 89% let and occupied by five office tenants and a retail tenant. Located in Midtown, a vibrant London sub-market on the western edge of the City of London, Fleet Street is a key thoroughfare linking the City to the West End. It also benefits from favourable transport links to Thameslink station, Blackfriars station, Chancery Lane Underground station and Farringdon station.
Chris Bates, Head of Real Estate Core Mortgage Europe at Barings, said: “As a diversified real estate investor, we remain confident in the outlook for London and its attractiveness for international business. The loan for 165 Fleet Street, backed by a strong sponsorship, has enabled the purchase of a substantially renovated asset in an increasingly attractive London sub-market with the potential for rental growth. We look forward to building on the momentum of 165 Fleet and growing our lending platform.”
