SHOKAI UK, a subsidiary of Beijing Capital Development Holdings, has exchanged contracts for the sale of Fleet Place House, EC4, to M&G on behalf of an Asian institutional client.
EG revealed in June that the investment manager was in talks to buy the 91,955 sq ft, nine-storey office building. It is understood that the price achieved was around £114m.
SHOKAI UK acquired the the 180-year leasehold over the property in 2017 for £96.5m from Grosvenor, which was selling it on behalf of the Grosvenor London Office Fund.
Built in 2000 by Heron International, the building forms the northern entrance to the Ludgate development and City Thameslink station. Tenants include law firm Bevan Brittan, Just Eat and Starbucks.
SHOKAI UK, which was established in 2015, has more than £400m of assets in the UK, including 30 Crown Place, EC2, and Friary Court, 65 Crutched Friars, EC3.
SHOKAI UK managing director Shawn Xiaoyang Zhang said: “This deal represents a significant milestone in our UK business strategy. We have been able to deliver excellent returns despite the current market challenges, and we are now able to pursue new development and investment opportunities within London as we expand our UK portfolio.”
Development and investment director Antony Kingston said: “Since purchasing Fleet Place House in 2016 we have delivered a number of successful asset management initiatives, improving both the asset and the income profile, driving income growth and delivering very attractive returns for our investors.”
SHOKAI UK was advised by Savills and CMS, while CBRE and Hogan Lovells advised M&G Real Estate.
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