Helical Bar and Baupost Group have begun a review of the second phase of its redevelopment of St Bartholomew’s Hospital, EC1, that will see them bring in a new partner for the scheme.
Helical and Baupost have appointed CBRE to consider options for the 211,000 sq ft office in west Smithfield, which is expected to have an end value of £300m.
The partners will sell a minimum of 50% of the building but could forward sell the entirety of the project. The process is expected to conclude in the next few months.
Thus far the building has no committed tenants but a speculative start could take place next year with delivery expected in mid-2018.
Whichever option is chosen Helical will continue to act as development manager. At present Helical Bar owns a third of the scheme and Baupost two-thirds.
The proceeds of any sale will be used to develop other parts of the wider 1.5m sq ft project.
Helical and Baupost are already under way with the first phase of the scheme, which includes 144 residential flats, 81 of which have already sold. It also includes two smaller office buildings – the 29,100 sq ft 90 Bartholomew Place and the 10,200 sq ft 54-58 Bartholomew Close.
In January HSBC provided Helical and Baupost with a £165m revolving credit facility to develop the first phase of the project.
The duo took control of the 2.3-acre St Bart’s site in 2011, making an initial £55m payment to London NHS Trust, and agreeing to £35m of potential future payments.
