Private real estate fund manager Clearbell Capital has acquired a freehold grade II listed Art Deco office building in London's midtown with co-investors for £59 mln (€69 mln).
The asset at 65 Kingsway was acquired by the Clearbell Property Partners III fund. Additional capital was sourced by co-investment from institutions from the US, France and Finland, Clearbell said.
The building, formerly the headquarters for Kodak, comprises 70,440 ft2 (6,600 m2) of space over seven floors. Current tenants include international education charity, Ark; men’s shirt store, Eton; fitness chain, Arena 8 and Soho Coffee Shops.
'Central London has performed beyond expectations given Brexit uncertainty,' said Rob West, partner at Clearbell.
'Overseas investors are attracted by the weaker pound in a Brexit context and by London’s strong fundamentals as the world’s most liquid real estate market. Supply-demand dynamics in the capital remain attractive. This co-investment proves that London remains an attractive location for inward investment.'
West added: 'We are planning a comprehensive repositioning to create contemporary space building on 65 Kingsway’s heritage as London’s first open plan office and workshop.'
Capital Real Estate advised the seller. Clearbell was advised by Fairbrother and BCLP. Laxfield Capital provided the loan facility.
65 Kingsway is Clearbell’s most recent investment in London after the Sloane Club in October 2017.
