Law firm Kaye Scholer has signed a 10-year lease for the 33rd floor of Beacon Capital Partners’ Citypoint, 1 Ropemaker Street, EC2.
The firm will relocate from its office at Land Securities’ 140 Aldersgate Street, EC1.
Law firm Simmons & Simmons has also completed a regear of its leases at Citypoint, as tipped by Estates Gazette.
The law firm occupies just over 178,000 sq ft in Citypoint and has agreed to remove the tenant break option in March 2020, thereby extending the term to March 2025.
The space that Simmons & Simmons had subleased to Morrison and Foerster, Mimecast and Ebiquity will be surrendered with the landlords taking on the tenants directly.
The regear and new letting are likely to increase the value of the building, which Beacon Capital Partners bought for £650m in 2007, financed with £535m of securitised debt.
Beacon defaulted on interest payments in 2012 and the loan was placed in the hands of Morgan Stanley’s special servicing business, which was subsequently acquired by Mount Street.
Brookfield bought the junior loan secured against the building – which had a face value of £106m – in November 2014 for around £75m.
Paul Stanford, senior managing director of Beacon Capital Partners, said: “These transactions endorse the quality of the building, the location and Beacon’s commitment to appropriate investment into the building.”
CBRE and JLL advise Beacon.
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