Lovells and Eversheds advise on largest London West End deal since 2007

Lovells has advised Lebanese group M1 Real Estate on the acquisition of Victoria House in Bloomsbury Square, London WC1, from Irish-based Moritz Group, advised by Eversheds, for around £175 million.  The acquisition is the largest office deal in the West End market since 2007.  

Victoria House is a 28,000 m2 office, retail and leisure investment occupying the east side of Bloomsbury Square. The art deco Midtown office block was built in 1929 and fully redeveloped to a class A standard office building for a sum in excess of £50 million. It is more than 50% let to government backed tenants, with a weighted average term of 9.5 years.
 
M1 secured the deal in front of 10 other institutional bidders due to its funding capacity, its track record and its team’s credibility. The property is the latest addition to its existing portfolio of London income-generating and development-oriented assets, which include properties in Cadogan Square, Cadogan Gardens, Grosvenor Place, Pall Mall and 20 Columbus Courtyard, part of the Credit Suisse UK headquarters in Canary Wharf. M1’s international assets include investments in the US, Europe, and the Middle East.  

The Lovells team was led by Michael Stancombe, joint head of Lovells’ real estate practice, with partners Kevin Ashman advising on tax and structuring and Andrew Welbourn on the financing of the deed. The core team also included senior associates Ann Towndrow and Kate Turnbull (both real estate) and associates Suzanne Hill (tax) and Michael Clifford (financing).  

Michael Stancombe said:      

"This acquisition – the largest office deal in the West End since 2007 – is highly significant, showing a welcome surge of confidence in the prime UK real estate investment market.  This deal cements our relationship with M1, who we first advised in 2009 in relation to the financing of the sale and leaseback of 20 Columbus Courtyard in Canary Wharf.”  

The Eversheds team was led by Lynde Marshall and James Roberts, having advised Moritz Group on the acquisition and subsequent management of the property.  

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With over 3,000 people operating from 29 offices in Asia and the Middle East, Europe and the United States, Lovells is one of the world's leading international law firms.    From 1 May 2010, Lovells LLP and Hogan & Hartson LLP will combine to form Hogan Lovells. The combination is subject to the firms obtaining the necessary regulatory clearances. For more information about Lovells, visit www.lovells.com Lovells (the "firm") is an international legal practice comprising Lovells LLP and its affiliated businesses.  Lovells LLP is a limited liability partnership registered in England and Wales with registered number OC323639.  Registered office and principal place of business: Atlantic House, Holborn Viaduct, London EC1A 2FG.  

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