Citibank House, Aldwych, WC2, could be set to become the core of a 16,720m2 (180,000 sq ft) office redevelopment.
The anonymous consortium of Scandinavian investors, who bought the 14,860m2 (160,000 sq ft) office block in 1999, had originally taken steps to develop a five-star hotel. Now they are believed to be looking for offers from developers interested in forming a joint venture or buying the block outright.
Experts believe that, with rents in the area currently hitting over £5386 per m2 (£50 per sq ft), an office scheme could achieve a value of over £50m.
A source close to negotiations said: “This is not a turn situation. The Scandinavians bought the scheme backed by a German bank and had lined up a hotel operator. It is true those plans have been scuppered but they aren’t looking to simply sell up and get out at a profit. They will sell if the deal is right but they are equally happy to maintain some holding in the asset.”
Sources said that the hotel concept fell through after the potential operator dropped out at the eleventh hour.
