See examples of Offices for Rent on Flexible Leases in London
Mitsubishi Estate Company (MEC) is to pay GBP 33 million for 150 Leadenhall Street, currently owned by Japanese insurer Tokio Marine. It is thought that there were over 20 separate bids for the building.
Currently, the building has 57,000 square feet of office space, though could be renovated and expanded to eventually to offer 80,000 square feet. MEC plan on redeveloping the building after the leases of Tokio Marine and Deutsche Bank run out.
A press release from the company stated: “The square-shaped and column-free floors make it possible for the property to provide the elements for a business environment that promises comfort and productivity.”
The building is in the vicinity of both The Cheesegrater and the Pinnacle.
Originally the agent in charge of the sale, CBRE, had marketed the building at GBP 25 million, but the numerous bids pushed the price up.
MEC’s new UK managing director, Hiroyuki Arimura said: “This building is particularly attractive to MEC because of its excellent location.
“This acquisition underlines our commitment to London and the UK market and follows on from the success of our Paternoster Square and Central Saint Giles redevelopments in the City and West End respectively.”
Founded in 1937, MEC is now the second-largest real estate developer in Japan. It is involved in property management and architectural research and design.
In 1989 the company bought out the Rockefeller Group in New York and took acquisition of the Rockefeller Center.
MEC also owns Japan’s tallest building, the Yokohama Landmark Tower, plus the Sanno Park Tower and the Marunouchi Building.
Editor’s notes: As of June 2023, the new 51-storey office tower on the site had topped out and was due to completed later in the year.
Named 8 Bishopsgate, the property will have dual entrances on Bishopsgate and Leadenhall Street and with nearly 1,000 cycle spaces and over 50 showers, the developers were targeting a Building Research Establishment Environmental Assessment Method (BREEAM) rating of Outstanding – the tallest building in London to achieve the accreditation. Touted as one of the most sustainable office buildings in London, the developers were also targeting an Energy Performance Certificate (EPC) rating of A.
In June 2023, space approximately 62,000 square feet on floors 7 – 9 of the building nicknamed ‘The Jenga’, had been let to the international law firm, HFW. Other floors were under offer at the time.
The amount of office space at 8 Bishopsgate totals 560,000 square feet of prime office space and 75,000 square feet of amenity space, including the Think Tank auditorium and a communal deli.
In December 2023, it was announced that insurance company CFC had agreed to rent 90,000 square feet of office space at 8 Bishopsgate.
The company agreed to rent floors 10 to 15 on a 15-year lease.
In January 2024, it was announced that Global reinsurance provider SCOR was relocating from Asia House at 10 Lime Street to 8 Bishopsgate having agreed to take approximately 50,000 sq ft of office space on a 15-year lease.
The company chose to rent over two and a half floors of the premium office building in London’s Insurance District as part of its commitment to achieve a net-zero carbon footprint in operations by 2030.
Also, in January 2024, it was announced that emerging markets investment banking group BancTrust & Co. had acquired the 36th floor at 8 Bishopsgate.
Investment manager AEW and telecom tower infrastructure company Helios Towers also agreed to rent office space at 8 Bishopsgate in the same month.
These 4 deals meant that 8 Bishopsgate was 80% let or under offer at the time.
In Q1 of 2024, it was announced that the B Corp development and asset manager, Stanhope, who developed 8 Bishopsgate on behalf of Mitsubishi Estate London, had signed a deal for 8,300 square feet on Level 33 of the building.