Lifestyle brand Ted Baker has entered into a contract with Leysin Investments to purchase “The Ugly Brown Building” in King’s Cross, NW1, for £58m.
The company will purchase the freehold Block B, Canal Reach, St Pancras Way, NW1, also known as The Ugly Brown Building, through Ted Baker subsidiary Big Lobster.
The 78,920 sq ft building is currently occupied by Ted Baker as its headquarters.
The acquisition will be financed by a £60m revolving credit facility provided by The Royal Bank of Scotland and Barclays.
This deal comes as British Airways Property Trustees Limited agrees to buy Blocks A and C, adjacent to The Ugly Brown Building, from Leysin Investments.
Ted Baker has an agreement with BAPTL that grants it the option to purchase 50% of Block A, a vacant 25,347 sq ft building, for £5.1m at any time within 15 months from the date of the agreement. The additional space would be used to expand its current offices.
Ray Kelvin, Ted Baker founder and chief executive, said: “The Ugly Brown Building has become an iconic building in a rapidly developing central London location and a very important ingredient of Ted Baker’s history and unique personality.
“We are delighted to have secured our future in this excellent location as Ted Baker continues to develop as a global lifestyle brand. We are confident that this will help us to preserve our culture and to continue to attract and retain great talent. This is great news for our business, our brand, and our people.”
