Brookfield Office Properties Inc. and Oxford Properties, joint venture partners in the London Wall Place development, in partnership with freeholder the City of London Corporation, have signed a pre-let agreement for the entirety of 1 London Wall Place (310,000 ft²-approx. 28,800 m²) with Schroders, one of London’s leading investment management businesses. The deal is the largest pre-let agreement in the City of London since 2010.
The signing of the pre-let agreement allows the Brookfield-Oxford partnership to commence formal construction of the development as soon as the demolition of the old St. Alphage House building and appropriate enabling works have been completed. The construction phase is expected to commence in July 2014 with full delivery of the property expected in late 2016.
Martin Jepson, President and COO of Brookfield Office Properties Europe, commented: “We have always believed in the long-term potential of the London office property market and of our offering at London Wall Place. With this new pre-let agreement we can focus on the delivery of a new state of the art office building that will complement our wider existing investment and development portfolio.”
Mike Rayner, Head of Development at Oxford Properties, commented: “We are pleased to have completed this significant letting with such a prestigious occupier, which decisively evidences the strength of this scheme. We now look forward to moving ahead with the development, and have no doubt that we will see strong interest in 2 London Wall Place as the scheme progresses.”
Michael Dobson, Chief Executive of Schroders, commented: “Schroders has grown substantially in recent years and 1 London Wall Place offers us a unique opportunity to consolidate all London employees under one roof, in a modern working environment and in an excellent location.”
Michael Cassidy, Chairman of the City of London Corporation’s Property Investment Board, said: “This pre-let agreement is very positive news and again confirms the City as a natural home for world-leading financial and professional services firms. We are delighted that Schroders has selected the London Wall site, which demonstrates its desire to consolidate in the Square Mile and highlights the benefits presented by this new development.”
GM Real Estate and Jones Lang LaSalle were appointed leasing agents for the development in January 2013. Savills, Deloitte Real Estate and Allen & Overy acted on behalf of Schroders.
Source: Brookfield Office Properties