Wing Tai, Champion REIT enter JV to buy London office

The acquisition of the office building at 66 Shoe Lane costs $2.76b or £255.

Wing Tai Properties, Champion Real Estate Investment Trust and two other investment holding firms entered into a joint venture to acquire a $2.79b office building in London.

The 11-storey building is located at 66 Shoe Lane, formerly called Athene Place. It offers 153,462 square feet of office space and 4,196 square feet of retail space.

Wing Tai Subsidiary will hold 21% of the total issued shares of the company, whilst Champion SPV will have 27%. The 31% will be allotted to Top Paramount, whilst the remaining 21% will be held by Sparkle Delight.

The value of the property was agreed at $2.79b. The JV companies made an acquisition deposit worth $219.3m.

Of this amount, $68m was contributed by Top Paramount, $59.2m by the Champion SPV, and $46.1m each by Wing Tai and Sparkle Delight.

The office has been leased to Deloitte LLP or its affiliate under five occupational leases with tenors of 15 years. It will expire on 28 September 2035.

It is located on the western edge of London City, near underground and overground rail hubs.