German lender Bayerische Landesbank (BayernLB) has provided a £90 million (€102 million) loan to Thor Equities and AEW for the acquisition of a mixed-used building in London’s West End.
The debt package covers 50 percent financing for the purchase of 100 New Oxford Street for £180 million. AEW acquired its interest in the property on behalf of a joint venture between two German institutional investors.
The prime mixed-use building has been refurbished and comprises 106,404 square feet, including 18,507 on the ground floor across six prime retail units and two restaurants, with more than 260 square feet of street frontage. The remaining 87,897 square feet consists of Grade A office space over six upper floors. The property is fully occupied by 16 tenants, providing a diverse occupier base.
The building is located just 100 metres from Tottenham Court Road station, which is currently undergoing a major refurbishment as part of London’s Crossrail development and will provide access to the Elizabeth line which is scheduled to open in 2018.
Several significant retail and residential developments are also under way in the immediate area, including the Centre Point tower, across the road from 100 New Oxford Street, which will include 82 high-end apartments, as well as retail and restaurants. A £323 million financing for the St Giles Circus project in London’s West End was also closed recently.
“This area of London has a strong and growing momentum behind it and the transaction reflects our ability to identify and secure high-profile, core assets in competitive markets,” said Rob Wilkinson, European CEO at AEW.