Lloyds Banking Group has provided a £53m loan to fund the construction of a new office building at Blackstone Real Estate Partner’s Chiswick Park.
The bank’s wholesale banking & markets division announced the agreement to fund the 220,000 sq ft building which is prelet to Scandinavian energy company Aker Solutions on a 20-year lease.
A statement from the bank said the leasing agreement represents the largest UK office letting in almost a year “and it is expected to lead to the area attracting further interest from global engineering and technology businesses”.
Lloyds director, Michael Weir, said: “Lloyds Bank is very pleased to support Blackstone Real Estate Partners with the financing for such a landmark transaction.
“From a franchise perspective we consider it sends a strong statement of the bank’s appetite and renewed commitment to the provision of both development and investment senior debt financing to the London real estate market.”
LBG’s head of corporate real estate, added: “Lloyds Bank enjoys a strong relationship with Blackstone and working together we are delighted to deliver a transaction that also brings substantial benefits to the wider UK economy through the creation of 200 construction jobs, in addition to the 1,300 new jobs that Aker will create.”
Blackstone’s senior managing director and head of European real estate, Ken Caplan, said: “We are delighted to be working with Lloyds Bank on this very exciting new development at Chiswick Park.
“This development, along with several other recent and ongoing investments, reflects our continued commitment to the UK.
“We are particularly proud of the new jobs being created by these investments.”
Lloyds was advised by Mayer Brown.
Bridget.O’Connell@estatesgazette.com
