Acquisition of two prime City properties
Mitsubishi Estate Company (MEC) is one of Japan’s largest property development and investment companies. In 2008, Cushman & Wakefield’s City team identified a potential development site and were solely instructed by MEC to acquire the buildings which made up this site.
The City team was initially instructed to prepare a preliminary report regarding the properties and the opportunity. During the course of 2010 it became apparent that 150 Leadenhall Street was being prepared for sale. This conveniently coincided with MEC’s sale of Bow Bells House in the City and the successful letting of their Central St Giles property, allowing MEC to focus on a new project.
During negotiations for the acquisition of 150 Leadenhall, the adjacent building came on to the market, 6-8 Bishopsgate, a 20-storey tower comprising 146,879 sq ft. Together, the buildings occupy a premier site in the City, effectively dividing the banking and insurance districts. The C&W team recognised that the acquisition of both sites would provide long-term prospects of redevelopment and, therefore, recommended the investment to MEC.
The team advised MEC on the successful acquisition of both 150 Leadenhall Street and 6-8 Bishopsgate for approximately £130 million.
This strategic investment provides MEC with the opportunity for significant active management in the short-term, or redevelopment in the long-term, potentially creating 400,000 sq ft of office space in the heart of the City.