Henderson Park has acquired 100 Leman Street from abdrn for €70m (£60m) on behalf of Henderson Park Real Estate Fund I. The high-quality modern office offers Henderson Park medium-term potential to undertake a series of asset management initiatives to add amenities, outdoor space and improve the building’s sustainability credentials further.
100 Leman Street is located in the heart of Aldgate, to the east of the City of London, which has experienced a dramatic transformation over the past five years as an innovation and enterprise hotspot for major tech and media companies looking for large floor plates, as well as finance and professional services firms. As part of Tech City, the area is identified within City Hall’s London Plan 2021 as a nationally significant office location and one that is expected to benefit from ongoing government support and cultivation. The 95,000ft² office building comprises seven upper floors that benefit from excellent natural light and provide flexible, efficient floor plates of between 12,500-15,500ft², which allow for an open plan or a cellular layout, while the basement level includes changing rooms, showers and bicycle facilities to promote environmentally-friendly commuting.
The extensive seventh-floor roof terrace helps with occupiers’ wellbeing needs by providing highly desirable outside space. Henderson Park will look to maximise this provision further and create additional value with the construction of more balconies and by adding a communal roof garden to take advantage of the incredible views over London’s ‘Eastern Cluster’ of high rise buildings, while also improving biodiversity.
The property also offers longer-term potential for a full refurbishment and an extension of the western elevation, including the construction of an eighth floor, subject to the necessary consents, adding up to c. 50,000ft² of high-quality office space that meets the demands of occupiers in a post-Covid world, with potential to introduce smart building technology. ESG will be at the heart of this process, with the aim of securing a BREEAM Excellent certification through the improvement the of building’s energy efficiency, reducing its carbon footprint and installing low water consumption bathrooms. 100 Leman Street is currently 100% let and has a WALT of 3.75 years with all leases due to expire in June 2025.
Mrinal Jalan, Managing Director at Henderson Park, commented: “Aldgate has seen substantial recent investment and firmly established itself as both a hive of innovation and as a core City of London office district, particularly in the tech, media and life sciences sectors. Working patterns undoubtedly changed over the last year, but we have found that demand for high quality, well-located office space has remained robust. Prolonged lockdowns have helped occupiers understand the central role offices play in fostering culture, teaching junior team members, as well as promoting creativity and efficiency. 100 Leman Street provides high quality, modern space, while the potential to extend the asset offers an exciting opportunity to create additional value in the longer term. We hope to further improve the environmental credentials, working with our occupiers to help them maximise the benefits of our extensive ESG proposals as part of our wider refurbishment plans. We have a strong conviction in London’s future prospects as a global centre of business and in this property’s ability to deliver an attractive return for our investors.”
