A New York-based investment firm, led by a former Blackstone chief executive, is fighting to make its debut UK buy.
John Kukral’s Northwood Investors is battling against a Who’s Who of established London investors to buy the 194,000 sq ft 90 Long Acre, WC2, for around £170m.
The $2.3bn (£1.4bn) Northwood is in the final runnings for the Covent Garden block, alongside Native Land, with its new Qatari backers, British Land, Delancey and Crosstree Real Estate Partners.
A source close to the deal said a preferred bidder had yet to be selected.
US investor Angelo Gordon, Capital & Counties and Tishman Speyer also made bids for the property, but did not make the final cut.
Northwood’s only foothold in Europe is a 75% stake in a 14-storey office asset in Paris and a 56,000 sq ft office in Dublin. It almost secured its first London asset last year, but lost out to Crosstree on the £150m acquisition of 1-3 Berkeley Street, W1.
One source said: “There has been huge overseas interest in this building, but several UK REITs have also been keen. It is a great investment asset and in a solid location. It has certainly been getting over-asking price offers.”
Tenants at the property, which generates £8.2m pa, include Dow Jones International. Long-term, there are potential redevelopment opportunities.
New York-based Witkoff Group, London-based DCD London & Mutual, and Aion acquired the property at the end of 2006 for £175m. In September, Jones Lang LaSalle and Eastdil Secured were appointed to sell the asset.
