AXA Real Estate and M&G Investments have acquired the debt used by Italian fund manager Sorgente to finance the acquisition of a prime Mayfair office.
Sorgente purchased Queensberry House, Old Burlington Street, for £167m, financed with £97.5m of debt from Deutsche Bank.
AXA and M&G acquired the loan from Deutsche Bank, and the margin on the debt is understood to be close to 400 basis points. This margin reflects the asset’s letting risk, since three of the multi-let office’s key tenants are free to move in the next 18 months.
Current tenants include Evans Randall, Hines and Wainbridge.
Sophia.furber@estatesgazette.com
