Canary Wharf has beaten the City to land Deutsche Bank’s long-running 150,000 sq ft office requirement.
The German bank has selected 25 Churchill Place in Docklands, E14, as its preferred option to relocate staff from 6-8 Bishopsgate, EC2.
Deutsche Bank had also been considering 5 Churchill Place, a 313,000 sq ft office block owned by Saudi billionaire Wafic Saïd.
Mark McAlister, head of City agency at Colliers International, said: “Deutsche Bank looked at Canary Wharf in detail as far back as 1995, when it considered 25 North Colonnade. It has had some false dawns in the interim but the logic is clear now. It is cost conscious and this will be an economical deal.”
Deutsche Bank has long been considering exiting its lease at the 147,000 sq ft 6-8 Bishopsgate. Mitsubishi Estate Company bought the building for £95m last year.
The bank also considered Heron International’s Heron Tower, EC2; Sellar Properties’ Shard, SE1; and Hines’ Cannon Place, EC4.
If the deal goes ahead at 25 Churchill Place, landlord Canary Wharf Group will have prelet 80% of the 500,000 sq ft development. The European Medicines Agency confirmed last August that it was taking 250,000 sq ft. The 20-storey building is set for completion in late 2014.
Jones Lang LaSalle acts for Deutsche Bank; CBRE and JLL act for Canary Wharf Group.
? The Economist has gone under offer to take 45,000 sq ft at 10 Cabot Square, E14, for its new HQ. The magazine, which is thought to be paying around £25 per sq ft with a “substantial” rent-free package, is subletting the space from Barclays Capital. It is currently based in 42,000 sq ft at 26 Red Lion Square, WC1. Equipe Real Estate acts for The Economist; CBRE advises BarCap.
james.buckley@estatesgazette.com
