Frogmore has gone under offer to purchase the four-building £250m Notting Hill Estate in west London from Pears Group and LaSalle Investment Management.
Savills was appointed to sell the estate, which comprises around 120,000 sq ft of shops and 42,000 sq ft of offices, in January.
Frogmore is funding the purchasing by recycling the receipts from its share of the recent £450m sale of two phases of the Oriana development on Oxford Street.
The estate, comprising shops, offices and flats, has major redevelopment potential with the capacity for around 100,000 sq ft of prime residential space to be added, plus multiple asset management opportunities.
The joint venture partners acquired the estate in June 2010 for around £130m, reflecting a 5% yield.
Pears and LaSalle have since sold off individual buildings including Newcombe House and Hobson House, the former of which was bought by Development Securities and Brockton Capital for £50m in 2011.
The remaining 165,000 sq ft estate is comprised of 92-144 Notting Hill Gate, West Block, David Game House and Astley House, all W11.
West Block, on the north side of Notting Hill Gate, offers the best short-term development opportunity.
Frogmore and jv partner Land Securities earlier this month struck a £450m deal to sell off the first two phases of the £600m Primark-anchored development on the Eastern side of Oxford Street, as revealed by Estates Gazette.
The site is being sold to an overseas investor, understood to be Zara founder and Spanish billionaire Amancio Ortega.
The third tranche of the development, comprising a Tottenham Court Road retail block, and the Hanway Gardens residential scheme, is now being marketed by CBRE.
