RE Capital Acquires Albion House in Southwark, London
JLL advised RE Capital on the £20.6m financing for the acquisition and refurbishment facility
RE Capital, the privately owned, pan-European property investment, asset and development management company with offices in London, Lisbon and Geneva, has completed the acquisition of Albion House, a 29,174 sq ft office building at 20 Queen Elizabeth Street in Southwark, London, from Peabody for £15.05 million. This transaction follows the purchase of 1-7 Old Queen Street last year, during the first UK Covid lockdown and is part of RE Capital’s ambition to acquire up to £150 million of central London offices this year.
RE Capital have implemented a comprehensive refurbishment programme to reposition the building, working with renowned architect Hale Brown to create a class leading, sustainable and wellness facilitated office headquarters. Due for completion in early 2022, this will include a reconfigured reception area, improved End of Journey facilities, terraces with outstanding views to the Tower of London and City office towers and original Victorian features. Albion House benefits from close proximity to local and national transport links at London Bridge, Tower Hill and Bermondsey, as well as cultural landmarks such as Borough Market, Tate Modern, Maltby Street Market, Shakespeare’s Globe Theatre and the Shard.
JLL has advised RE Capital on the £20.6m financing for the acquisition and refurbishment facility The loan has been provided by Invesco.
RE Capital was advised by Compton and Charles Russell Speechly on the Investment Transaction. Peabody was advised by Savills and Penningtons Manches Cooper. Rubix and RX London have been appointed as joint leasing agents.
Commenting on the announcement, Simon Banks, Head of UK Real Estate, said: “Albion House represented a unique opportunity to buy a vacant and extremely well-located office in central London on an attractive basis for our capital. The acquisition aligns with our strategy to re-position strong under-lying assets in core locations and deliver more relevant, diverse workplaces in a rapidly changing occupational landscape, at a time when people are returning to the office. This latest transaction is an important milestone in our ongoing strategy to acquire up to £150 million of central London offices this year.”
Andrew Gordon, Managing Director of Real Estate Debt – Europe at Invesco said: “We believe that “future-proofed” offices in core locations present a good opportunity and we are delighted to be supporting RE Capital on this transaction. We continue to seek both investment and development lending opportunities in all sectors across all European markets.”
David Barry, Senior Director, Debt and Structured Finance at JLL, added: “We are delighted to have sourced and secured an attractive long-term debt solution from Invesco which enables RE Capital to execute its business plan and vision for the property.”
JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $16.6 billion in 2020, operations in over 80 countries and a global workforce of more than 91,000 as of March 31, 2021. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.