Temasek has emerged as part of the Axa-led consortium which is under offer to buy the Pinnacle skyscraper development in the City of London.
The Singaporean state-backed asset manager will help fund the £220m site acquisition cost from Sedco, Wafra and Arab Investments and the estimated £500m build cost of a revised tower scheme.
Lipton Rogers is acting as development manager to the consortium.
The complex transaction is expected to see the vendors retain a minority interest in the leisure element of the development.
The deal would be Temasek’s second major commercial property transaction in London, following its £175m acquisition of a 50% stake in Mid City Place, WC1, last year. It opened its first main office in London in 2013 after agreeing to pay more than £125 per sq ft for space in St James’s.
The original Pinnacle scheme was first consented in 2006 but stalled at seven storeys in early 2012 after running into funding difficulties.
CBRE was appointed in 2013 to conduct a wholesale review of the scheme to improve its viability before launching it to market in early 2014.
