21 May 2019
- Ian Painter, Nigel Howorth, Holly Porter, Alex Pennington, Ivan Yuen, Sarah Dawson, Miruna Poenaru, Sascha Nolte, Elizabeth Hardacre, Marianne Toghill, Anna Cornelius
Clifford Chance advises Helical and AshbyCapital on acquisition of major development project in Farringdon
International law firm Clifford Chance has advised the joint venture between Helical plc and AshbyCapital on the corporate acquisition of a major mixed use development site in the heart of Farringdon from a client of Nuveen Real Estate.
In addition to its role on the acquisition, the Clifford Chance team also advised on the formation of the 50:50 joint venture between Helical and AshbyCapital, as well as the associated development management arrangements. The site is situated on the corner of Charterhouse Street and Farringdon Road, just 100 yards from Farringdon Station, and has planning consent for a 192,000 sq ft building comprising offices and ground floor retail space. Construction is set to begin later this year with completion anticipated early in 2022.
Commenting on the transaction, lead Partner Ian Painter said: "The firm has a longstanding relationship with both Helical and AshbyCapital and this acquisition follows on from the work we have been doing for both clients on the successful One Bartholomew development, which was developed by Helical and forward funded by AshbyCapital. It also capitalises on our recent experience acting for Helical on all aspects of their nearby development schemes at Barts Square, Farringdon East overstation development and 25 Charterhouse Square. Farringdon is a popular commercial and social hub and the proximity of this site to the new Farringdon West Crossrail station, which is just next door, will mean that this development will be highly sought after.
We are delighted to be working with Helical and AshbyCapital on another joint venture which will deliver occupier-led placemaking in the heart of Farringdon. The deal also demonstrates the strength and breadth of the Clifford Chance real estate team's expertise, with the team advising on the corporate acquisition of the property-owning Luxembourg company and the joint venture arrangements, as well as the real estate workstreams (including rights of light, City of London head lease arrangements, planning, construction and title due diligence)."
Gerald Kaye, Chief Executive of Helical, commented: “We are big fans of the Farringdon area, which attracts a broad spectrum of occupiers and benefits from superior transport links. We have achieved considerable success in the area to date and are very pleased to be acquiring a further opportunity to add to our Grade A office portfolio of Barts Square, The Kaleidoscope above Farringdon East Crossrail Station and 25 Charterhouse Square.”
Peter Ferrari, Chief Executive of AshbyCapital, added: “We are very pleased to be working with the Helical team again on this exceptional development opportunity. This joint venture builds on the success of One Bartholomew, our 221,000 sq ft building which Helical developed for us and which is already two thirds let within five months of completion.”
The transaction team comprised Partner Ian Painter, who was supported by lawyers Holly Porter, Alex Pennington and Ivan Yuen, as well as Senior Associate Sarah Dawson. Luxembourg input was provided by Miruna Poenaru (lawyer) and Sascha Nolte (Senior Associate), while Head of Environment and Planning Nigel Howorth, Senior Associate Elizabeth Hardacre and lawyer Mark Mulholland advised on planning. Head of UK Real Estate Construction Marianne Toghill, Senior Associate Anna Cornelius and lawyer Charlotte Braine provided construction advice.