Hong Kong-based Link Asset Management has acquired the Cabot in Canary Wharf, E14, for £380m, marking the company’s entry into the UK market.
Hines is the freeholder of the 17-storey, 452,878 sq ft office building, formerly known as 25 Cabot Square. The transaction reflects a yield of 5% and the building has an annual net passing rent of £18.83m.
Link Real Estate Investment Trust, which is managed by Link Asset Management, showed interest in the market earlier this year when it was confirmed it was in talks with intu to help the shopping centre landlord raise £1bn of emergency cash.
Link chief executive George Hongchoy said the acquisition was part of the company’s growth strategy to diversify its portfolio.
He added: “A diversified portfolio can strengthen our portfolio resilience, allowing us to benefit from the varied economic cycles of different markets.
“Going beyond our home Hong Kong and mainland China, we are looking at opportunities in the UK, Singapore, Australia and Japan – transparent and liquid markets with sound legal frameworks and strong economic fundamentals.”
The transaction is expected to complete next month, after which, Link will look to Patrizia UK to provide asset management services for the Cabot.
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