Brookfield to buy stake in City of London development for £43m, and act as develoment manager
Developer Great Portland Estates has sold a 50% interest in its 100 Bishopsgate development for £42.97m to Canada's Brookfield Properties.
The City of London development will now be overseen by the Great Portland and Brookfield in a 50:50 joint venture. Brookfield will act as a development manager and Great Portland Estates will continue to act as both property and asset manager.
The acquisition price suggests a complete valuation of £85.95m. The current rental income is £7.4m a year.
The 2 acre site has consent for a 40-storey building providing 770,000ft² of office space, retail and a public library. There will be a second building of 49,600ft² containing offices and a new Livery Hall for the Worshipful Company of Leathersellers.
The joint venture intends to prepare the scheme for a potential start date in 2011/12.