London's Big Deal
Cannon Bridge House, a distinctive 286,000-sf London office building, has been sold to Seoul-based FG Asset Management and The Valesco Group, headquartered in London, for $335 million. The seller, Blackstone, was assisted by real estate firm HFF and Savills. The property consists of two interconnected buildings with a landscaped roof garden of more than an acre. One of the buildings, the River Building, was recently refurbished and was 100 percent pre-let to Deliveroo and Kobalt Music; the other, the Atrium Building, is 100 percent leased to tenants primarily in the financial services sector.
Global Markets to Watch
Office and building amenities are playing a larger role in site selection decisions globally, as corporations look to attract and retain talent. “A primary driver for this phenomenon is the acceleration of co-working and shared space,” says JLL's May 2018 Global Market Perspective report. “In Asia Pacific, leasing volumes from co-working operators rose some 50 percent year-over-year in the first quarter, boosted by WeWork's recent acquisition of Naked Hub, one of the region's largest co-working operators. In the U.S., WeWork executed 33 leases during Q1, while Spaces signed 34 leases totaling 1.3 msf in the same period.” JLL also notes that demand for coworking spaces is increasing in Europe as well, as alternative employment models account for 30 percent of the workforce in some European markets.