Financier Cain Hoy Enterprises has provided a £450 mln (€537 mln) development loan to Canary Wharf Group to fund its office development One & Five Bank Street in east London.
Cain Hoy is funding 75% of the loan while the Qatar Investment Authority (QIA) is providing the remaining 25%. The loan is believed to be the largest development financing to complete since the triggering of Article 50 in the separation proceedings between the UK and the EU.
One & Five Bank Street is a 715,000 sq ft (66,425 m2), 27-storey commercial scheme in London's Canary Wharf offering office and retail space as well as public access to a new promenade along the South Dock. The development, which is set to complete in early 2019, is already 40% pre-let to French banking group Société Générale. The remaining office space is being marketed by agents JLL, CBRE and GM Real Estate.
John Cole, managing director of Cain Hoy, said: ‘This development loan highlights our confidence in the continued appeal of the London office market and our commitment to supporting developers with a one-stop source for big-ticket loans at a time when some traditional lenders are being more conservative. This transaction is representative of our partnership approach, using our relationships and experience in the property industry to add value and provide individual solutions to complex requirements.’
Paul Stallard, group treasurer of Canary Wharf Group, commented: ‘One & Five Bank Street is a fantastic development that has already attracted a major pre-let. The Cain Hoy team has a strong reputation and we are pleased to have worked with them and QIA to secure this significant loan which enables us to push ahead with this exciting scheme.’
