Peter Ferrari’s Ashby Capital is under offer to take a stake in Helical Bar’s and Baupost’s redevelopment of St Bartholomew’s Hospital, E1.
The Middle Eastern-backed investment firm is in talks to fund the development of the 210,000 sq ft main office element of the mixed-use Barts Square redevelopment.
The deal will value the completed office at around £300m, reflecting a circa £1,400 capital value per sq ft based on rents of around £70 per sq ft.
It is Ashby’s second development funding deal, following its May 2014 agreement to fund Exemplar’s One Bedford Avenue, W1.
Helical is already under way on the first residential phases of the site, which occupies a prime pitch between Smithfield Market and the City core, and could look to commence the office element on a speculative basis from next year.
In total, the scheme covers 1.5m sq ft and includes two smaller offices, ground-floor shops and restaurants and a total of 144 flats spread across multiple buildings.
In January, HSBC provided Helical and Baupost with a £165m revolving credit facility to develop the first phase of the project.
The duo took control of the 2.3-acre St Bart’s site in 2011, making an initial £55m payment to London NHS Trust and agreeing to £35m of potential future payments.
The larger of the office buildings will be next door to 200 Aldersgate Street, EC1, which Ashby bought from Helical in 2013 for £225m.
Former Heron managing director Ferrari established Ashby in 2013 with a £1.5bn mandate from a private Middle Eastern investor.
CBRE is advising Helical and Baupost; Savills is acting for Ashby.
All parties declined to comment.
