Canary Wharf Group (CWG) has acquired 15 Westferry Circus at Canary Wharf in London for around £128 mln (€149 mln).
Canary Wharf Group (CWG) has acquired 15 Westferry Circus at Canary Wharf in London for around £128 mln (€149 mln).
The property was purchased from two companies in administration: Gort Limited and Hibernia.
As part of the deal, Canary Wharf Group has taken over an existing senior swap which has an estimated value of £11.4 mln. This swap matures in April 2016.
The purchase price will be fully funded by a new loan provided by US insurer Metlife which has the same maturity date as the fixed rate swap. The weighted average cost of debt will be around 6.0%.
15 Westferry Circus was completed by CWG in 2001. The property is held on a 999-year lease with the freehold retained by CWG. The property is leased to Morgan Stanley for a term of 35 years, expiring on 31 August 2036, and sub-leased to the current occupier Tubelines.
CWG was advised by GM Real Estate and Macfarlanes.
