Barclays has agreed to extend the lease of its UK headquarters at One Churchill Place, Canary Wharf, by five years to 2039.
In a separate transaction, a subsidiary of Canary Wharf Group Investment Holdings (CWGIH) will amend its lease arrangements with Barclays Bank at 10 Cabot Square and take a sub-lease over the premises.
In 2021, Barclays announced its intention to exit 10 Cabot Square, which is also known as 5 North Colonnade.
Canary Wharf Group (CWG) said the proceeds from the amendment to the lease at 10 Cabot Square will be used to redeem £263.5m of notes under the existing CMBS securitisation, with the remainder being used for general corporate purposes. Following this transaction, 10 Cabot Square will no longer be secured under the securitisation.
John Mulqueen, chief investment officer at CWG, said: “We are delighted Barclays extended its lease at One Churchill Place demonstrating its commitment to Canary Wharf, and investing in the building for the long term. Businesses want their offices close to a range of leisure and amenities to help attract and retain talent. Canary Wharf is a 15-minute city with access to great transport links, access to 16.5 acres of parks and a wide range of amenities and cafes, bars and restaurants.
“We will reposition 10 Cabot Square to meet the increasing demand for high-quality sustainable office and life science uses, as well as providing an opportunity to add mixed uses such as hotel, education and leisure.”
Alastair Blackwell, chief operating officer at Barclays Execution Services, added: “After announcing our intention to exit 5 North Colonnade in 2021, I am pleased we have reached this agreement with CWG which delivers a long-term cost saving for the bank. Canary Wharf is a fantastic place to work and our five-year lease extension at One Churchill Place is testament to that.”
