LBS Properties disposes of Chapter House, 1 Cranwood Street, London for £45,500,000.00

On behalf of its client Chapter House Limited, LBS Properties has successfully sold Chapter House, a prime freehold central London investment opportunity, to RTP Global Real Estate Investments LP, a pan-European fund targeting prime assets for £45,500,000 reflecting a net initial yield of 4.48%.

Chapter House is located one street back from Old Street Roundabout in the heart of London’s tech and creative cluster.

A former Victorian School that was comprehensively refurbished and extended to a very high specification in 2019. The property, which originally dates back to 1887, offers a high specification with 4.5 metre floor to ceiling heights and external terraces, providing 32,323 sq ft of office accommodation arranged over lower ground, ground and four upper floors.

Chapter House, one of two adjoining buildings developed by LBS Properties is fully let to three tenants, Ebiquity Plc, Totally Money Limited and Recorded Future, with a passing rent of £2,202,552 per annum, equating to £68.00 per sq ft.

Nick Crawford, Managing Director of LBS Properties, says, we are delighted to have completed the sale of Chapter House to RTP Global Real Estate Investments LP. Through high quality of refurbishment, Chapter House has been transformed to a best in class office building in a prime Old Street location. This resulted in the property being 80% pre-let prior to completion.

LBS Properties were represented by Cushman & Wakefield and Colliers. Crossland Otter Hunt acted for the purchaser.

LBS PROPERTIES SECURES BLOOMSBURY OFFICE FOR DEVELOPMENT AS PART OF NEW FUND LAUNCH

Award-winning London developer and asset manager LBS Properties has completed on the purchase of 107 Grays Inn Road, a 14,000 sq ft multi-tenanted office building in Bloomsbury, for £7.1m.

The acquisition marks the first transaction for the new Guernsey-based LBS Real Estate Investment Fund, to which LBS Properties is sole Property Advisor. The new fund’s strategy is to invest in value-add commercial opportunities across London.

LBS Properties plans to undertake a full internal and external refurbishment of the building, which spans five floors, with work due to complete in Q1 2020. Located in what is known as London’s ‘Midtown’, 107 Grays Inn road enjoys a good location within a ten minute walk of Farringdon, Chancery Lane and Russell Square stations, while also being less than a mile from Kings Cross.

Nick Crawford, Managing Director of LBS Properties, comment: “This marks a significant acquisition in the Midtown area, which is currently suffering from a record low of quality new office supply coming to market. We will undertake a comprehensive refurbishment, delivering prime office space that will appeal to the area’s increasingly diverse tenant base which includes professional services, TMT and legal firms. There is a continually improving food, beverage and retail offering in the area, making it an attractive destination for occupiers.”

“The new Fund will continue to seek opportunities where we can leverage our development and asset management expertise to add value in a relatively short space of time by refurbishing and repositioning buildings that benefit from good fundamentals.”

LBS PROPERTIES LAUNCHES SCRIPT EC1 AFTER RECEIVING PLANNING FOR OLD STREET OFFICE TRANSFORMATION

Award-winning London developer and asset manager LBS Properties has been granted planning permission by Islington Council for the redevelopment of the Defoe Court building at 44 Featherstone Street EC1, to provide 51,000 sq. ft of prime office space. The project has been launched to the market this month as Script EC1.

Designed by Thirdway Architecture, the development will include the delivery of an additional seventh storey with roof terrace, a complete external and internal refurbishment, provision of cycle storage and new facilities, which will create an exemplar scheme just 150 metres from the iconic Old Street roundabout.

LBS Properties acquired the freehold office building last year from Paris-headquartered Amundi Asset Management. It sits among the area’s thriving tech and media cluster which includes blue chip occupiers as well as fast growing start-ups. In addition to Old Street station just moments away, the building is in close proximity to Moorgate and Liverpool Street stations, with the new Elizabeth Line services due to open soon.

LBS Properties has a proven track record in the area, having recently developed Chapter House, providing over 34,000 sq. ft of accommodation which was almost entirely pre-let prior to launch, as well as the adjoining Verse building which has just launched, providing over 16,000 sq. ft of accommodation.

Nick Crawford, Managing Director of LBS Properties, comments: “The Old Street area continues to thrive as a prime city-fringe office location, with strong tenant demand leading to record rents being set in recent months for the best buildings. The redevelopment of Defoe Court will deliver another high-quality office building with excellent amenities at a time when there is limited new supply coming to market. Our previous Chapter House project just across Old Street roundabout was very well received, and is now 100% let, shortly after it completed.”

Work is due to commence immediately with completion expected in Q3 2020.

LBS SECURES £70M REFINANCING FROM BENTALLGREENOAK FOR TRIO OF LONDON OFFICE PROJECTS

On behalf of client ED Group, award-winning London developer and asset manager LBS Properties has completed a circa £70M refinancing with BentallGreenOak for three significant office projects in London. The investment debt package supersedes previous development funding from Cheyne Capital.

The three projects include 70 White Lion Street, a new 36,000 sq. ft. office scheme in Angel, N1 which was 100% pre-let to Spaces (part of IWG) and completed in July 2019.

And in nearby Old Street, LBS Properties has recently launched Chapter House – one of two buildings being developed adjacent to Old Street Roundabout, designed by the renowned Buckley Grey Yeoman architects and collectively known as ‘Chapter and Verse.’ Chapter House, a converted former Victorian school building completed in May 2019, provides c.34,000 sq. ft. of new office space and is currently 80% let to Ebiquity and TotallyMoney, while the adjoining new-build Verse building will provide circa 16,000 sq. ft. of space and is due to complete in September.

The deal marks ED Group and LBS Properties’ third funding deal with BentallGreenOak, following its acquisition of the old Mecca Bingo Hall on Hackney Road – now a residential scheme known as HKR Hoxton – and the £32m Defoe Court office acquisition last year.

Nick Crawford, Managing Director of LBS Properties, comments: “We are delighted to have completed another financing with BentallGreenOak. Over the last two years we have developed three high-quality office buildings in excellent, City Fringe locations, with White Lion Street and Chapter House close to fully let shortly after completion, and Verse Building due to deliver 16,000 square feet to the Old Street market in September this year. This financing will support the transition from development through to stabilisation, and facilitate ED Group’s strategy to hold these assets, in light of the continued shortage of high-quality office space in these submarkets.”

Martin Sheridan, UK Debt Principal at BentallGreenOak, comments: “BentallGreenOak is pleased to have supported LBS Properties on yet another successful Central London office project. This transaction further underlines our ability to provide our borrower’s with wide-ranging and large-scale financing solutions across the capital structure for stabilised, value add and development assets.”

HFF advised the borrowers.

LBS Properties appointed as Development Manager for £17m JV King’s Cross development

A new joint venture between investors Prime Pacific and ED Group has outlined plans to inject up to £240m into London’s residential market, kicking off with the purchase of a £17m scheme in King’s Cross.

The 22-storey development, known as Brill Place, has planning consent for 54 flats and commercial space.

Construction of the mix of one, two and three bedroom apartments is due to begin in the first half of 2020.

The JV between the investors has been set up as the Paladin LBS UK Residential Fund, with a total target of investment of $200m-300m (£160m-241m).

The venture aims to acquire residential development sites with planning consent in London’s zone 1 and inner zone 2 locations, pursuing a build-for-sale strategy.

The joint venture has appointed LBS Properties to oversee its developments and implement its investment strategy.

Prime Pacific chief executive Khoon Ng said: “With the number of new starts at the lowest level since 2012, the inelastic housing demand and the weakening pound, the next 12 months will be a good time to capitalise on this investment hotspot in the UK.”

Chairman of ED Group Gordon Crawford added: “Prime Pacific, along with its affiliated companies, has unrivalled expertise in financing and delivering residential-led development in Asia.

“We believe the combination of this expertise with ED Group and LBS Properties’ exemplary track record in London, will position the partnership excellently to deliver on its ambitions in the coming years.

LBS Properties reach new heights with topping out of The Madison

On Wednesday 26 June, award-winning London developer and asset manager LBS Properties and main contactor Balfour Beatty celebrated the topping out of The Madison, marking the completion of the 53rd story of this landmark E14 residential tower, adjacent to Canary Wharf. LBS Properties is the development manager for the project, on behalf of clients ED Group and Xinyuan Real Estate.

The ceremony was attended by the project team and key stakeholders, who enjoyed panoramic views from the top of the 187-metre tower, which is designed by the award-winning Make Architects. The Madison includes a collection of 319 high specification studio, one, two and three bedroom apartments and penthouses, plus 104 affordable homes, an expansive collection of residents’ amenities, as well as commercial space and new public park at ground floor level.

The slender form of the glass tower enables 70% of the overall site to be dedicated to new public realm, including over half an acre of thriving biodiverse public gardens with extensive planting and seating areas, situated on the quieter side of the docks that will offer a peaceful escape.

Nick Crawford, Managing Director of LBS Properties, said: “This is a landmark moment for The Madison, which is transforming this opportunity area within the docklands and will provide benefits not only for residents but the public thanks to the expansive new gardens. Through the combination of unique design, specification and outstanding location, we have enjoyed strong sales success to date including significant off plan sales, despite a challenging backdrop. Overall estimated completion is due in Q3 2020 and we look forward to welcoming the first residents.”

Residents at The Madison will benefit from a beautifully appointed private lounge, gym, screening room and top of the range business facilities, collectively known as the Highline Club on the 16th floor. All of these first-class facilities will front on to three external terraces with 180 degree outstanding views of Canary Wharf, the City of London and beyond. There will also be a five-star-style spa area with 12m pool, sauna and steam room.

The luxurious interior design at The Madison can be found in all areas of the building – from the impressive double-height entrance to the detailing of the kitchens in the apartments themselves. The thoughtful layout of each home maximises floor space to create generous, light-filled rooms with expansive views over London, with many apartments also benefiting from balconies, winter gardens and external terraces

Positioned close to Canary Wharf, The Madison enjoys a convenient and enviable location with excellent transport connections, including South Quay DLR station a short walk away. These connections are set to improve further with the new Crossrail Station at Canary Wharf, which will provide a direct link to the City, West End and Heathrow Airport, while next year the new South Dock Bridge will make the walk to Canary Wharf even shorter. The surrounding area is also undergoing widespread transformation with the provision of new homes, shops, bars, cafes and restaurants, including Wood Wharf.