Blackstone Plans Sale of a $330 Million London OfficeBy
Blackstone Group LP plans to put on sale the headquarters of IG Group Holdings Plc in the City of London for about 250 million pounds ($330 million), two people with knowledge of the discussions said.
The U.S. private equity firm has hired brokers HFF Inc. and Savills Plc to market Cannon Bridge House, which it recently modernized and leased to companies including Deliveroo owner Roofoods Ltd, the people said, asking not to be identified because the information is private. This is the latest in a series of London properties to be offered for sale by Blackstone, which has bet heavily on the city’s real estate market.
A spokesman for Blackstone declined to comment. The fund manager bought Cannon Bridge House for about 170 million pounds in 2015.
The pounds weakness, along with the gap between real estate and government-bond yields, has encouraged global investors to buy London offices with long leases to corporate tenants. That was despite expectations of a Brexit-induced downturn. London towers including the Walkie Talkie and Cheesegrater have sold for high prices this year, encouraging would-be sellers to offer more assets for sale after a drought following the Brexit vote.
Blackstone sold the Lacon House office in London for 285 million pounds last month and is marketing another property in the city for about 450 million pounds.