The National Pension Service for Korea is tipped to buy out Grosvenor London Office Fund’s £105m stake in 40 Grosvenor Place, SW1.
NPS is understood to have this week been drawing up a serious bid to buy the remaining 50% of 229,000 sq ft Hobart House.
It already owns half of the building, which Rockspring bought on its behalf for £85m in 2009.
The fund has appointed H2SO to sell the asset for £105m – a 5.27% net initial yield.
A source said: “It is understood that NPS seriously wants the remainder and have already entered talks. It would be prepared to pay, because this is a Belgravia trophy, and there are not likely to be many more buildings coming to the market, which offer close views of Buckingham Palace.”
Another added: “Grosvenor would likely be keen to sell to a party it is familiar with and trusts.”
However, bids have not yet been submitted, and NPS faces competition from a number of other foreign institutional funds that have already expressed an interest in the site.
All parties declined to comment.
joanna.bourke@estatesgazette.com
