AXA IM Alts has gained a £480m development loan from Cale Street to fund its 650,000 sq ft office scheme at 50 Fenchurch Street, EC3.
The deal is thought to be one of the largest development loans agreed ahead of any prelet in the UK since the beginning of 2023.
Following the acquisition of the site by AXA IM Alts on behalf of clients in 2022, the six-year facility will fund the delivery of the 36-storey building.
Construction is expected to commence this year, following the appointment of a main contractor. YardNine is the delivery partner for the project.
The building seeks to incorporate flexible grade-A office space with “state-of-the-art” technology. Features will include vertical urban greening, all-electric energy and more than 1.5 acres of outdoor space and terraces. The scheme is targeting BREEAM Outstanding and net zero in operation, and is aiming to reduce embodied carbon during construction.
The development project includes retaining two historic listed buildings, the Tower of All Hallows Staining and Lambe’s Chapel Crypt, which will be relocated within the scheme to form part of an extensive new public realm.
Rob Samuel, UK head of development at AXA IM Alts, said: “The divergence in the London office market between prime well-connected, sustainable, amenity-rich spaces and poorer-quality buildings continues apace, with a supply-demand imbalance in favour of the former.
“Cale Street’s support for this BREEAM Outstanding development is a strong endorsement of our approach at 50 Fenchurch Street, where we will deliver a landmark, next generation office into the heavily supply constrained City of London market.”
Image from AXA IM Alts
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