JP Morgan Asset Management has secured a £1.016bn development loan from ING Bank and DBS Bank to finance the refurbishment of the One Spitalfields office development at 1–10 Bishops Square in the City of London.
The facility has been equally underwritten by the two banks with DBS acting as global coordinator and DBS and ING serving as mandated lead arrangers, bookrunners and green loan coordinators.
The development, which is being delivered on behalf of institutional investors advised by JP Morgan Asset Management, will retain the building’s structural frame while upgrading the property to provide more than 700,000 sq ft of Grade A office space.
Jennie Norman, director at ING Real Estate said: “The transition of existing buildings will play a vital role in improving the sustainability of the UK’s commercial property market. One Spitalfields shows how large-scale financing can support the modernisation of a major City asset.”
Diane Wonfor, executive director, head of London real estate at DBS Bank, added: “One Spitalfields represents a major investment in the future of the City of London. This financing reflects DBS’ longstanding relationship with JP Morgan Asset Management and supports one of the City’s most significant refurbishment projects. By retaining and upgrading an existing asset, the development combines strong sustainability credentials with the creation of a modern workplace designed for the needs of today’s occupiers.”
Michael Ramm, head of JPMAM European real estate, said: “This financing represents one of the largest development loans originated in the London office market. The strong lender appetite and availability of financing for this process is a clear demonstration of the team’s proven track record in executing large-scale development projects, as well as continued flight-to-quality, as lenders prioritise prime assets in prime locations anchored by institutional tenants.”
