HB Reavis in second London development buy

CEE developer HB Reavis has exchanged contracts to acquire 20 Farringdon Street, a prime development opportunity in London’s Midtown, for an undisclosed amount.

This acquisition is HB Reavis’ second in the UK market and follows the purchase of 33 Central, its newly rebranded development at 33 King William Street, in the City of London, in November last year.

The site, which currently comprises a vacant nine-storey 43,000 sq ft (4,000 m2) office building, has full planning permission for a brand new 12 storey office building totaling 75,000 sq ft. HB Reavis intends to commence demolition of the existing building as soon as possible with full build completion of the new scheme expected by early 2017.

The building is targeting BREEAM Excellent environmental certification.

The acquisition is in line with HB Reavis’ stated strategy to acquire high-quality development opportunities in London as it expands into the UK. Its debut London asset, 33 Central, is expected to complete in the second half of 2016.

HB Reavis, which has a dedicated London-based team, said that it will focus on developing its two prime assets while continuing to appraise potential further acquisitions. 'This exceptional site has recently received planning consent for a new office building in a location that has seen continued high tenant demand and a record low vacancy rate. The scheme, which will benefit from the new Crossrail station in 2018, will provide much needed Grade A office accommodation,' said Tomaš Jurdák, director of HB Reavis UK.