Daibiru, the Japan-based real estate subsidiary of Mitsui OSK Lines, has entered the UK market with the acquisition of a £169m (€200.7m) London office asset from Barings.
Daibiru has acquired Capital House, 85 King William Street, a 121,489sqft office and retail building expected to serve as the new European and African headquarters of the MOL Group.
Barings sold the asset on behalf of a core European real estate strategy, having acquired it in 2021 for £130.5m and subsequently completed an asset management programme involving an investment of over £11m.
Darren Hutchinson, managing director and head of UK transactions at Barings Real Estate, said: “The extensive repositioning of Capital House, including comprehensive office floor and common part refurbishments and subsequent lettings has resulted in a high quality asset worthy of its excellent location, with a world-renowned set of businesses calling it their working home.
“We’re pleased to have concluded this deal with Daibiru Corporation, ahead of our business plan following its off-market approach, which has served to reinforce our conviction in prime offices in central business districts that benefit from first-class transport links. We are now looking to redeploy the proceeds to create further high-quality assets.”
Gunther Deutsch, managing director, head of European transactions and country head Germany at Barings Real Estate, said: “This transaction highlights why select office opportunities, in the right locations and with the right amenities, remain among our preferred investments across Europe, whether through developer JVs, refurbishments or change of use transformations that create strongly in demand high-quality office space.
“Alongside the office sector, logistics and living remain at the top of our list in terms of acquisitions, mainly with core+ to value add risk return profile.”
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