KKCG Real Estate Group has completed the acquisition of 1 St James’s Square in London’s West End from Lifestyle International Holdings for £291m.
The office building, which sits on a 0.54-acre freehold sit, is currently occupied by BP as its London headquarters. BP is expected to vacate the building in April 2028, after which KKCG Real Estate Group intends to deliver the existing planning permission for the site.
KKCG has selected YardNine as its development partner for the Foster + Partners-designed scheme, which will transform the site into 120,943 sq ft of prime office space, including 6,684 sq ft of outdoor terracing across three floors.
The retrofit-led redevelopment will retain the building’s existing frame, preserving as much embodied carbon as possible, while replacing the façade, adding two new storeys and a new roof terrace that will overlook the square. KKCG Real Estate Group is targeting EPC A, BREEAM Outstanding, NABERS 5.5* and WELL Platinum ratings for the development.
Peter Holden, CEO of KKCG Real Estate UK, said: “1 St James’s Square is an exceptional asset and a rare opportunity to acquire one of London’s most prestigious office buildings. Combining significant scale with an unrivalled West End location, it represents one of the capital’s finest business addresses. This acquisition marks an important milestone for KKCG Real Estate Group as we continue to build a focused, well-capitalised platform investing in prime Central London real estate.
“Our ambition is to own, develop and manage outstanding office buildings. Beyond acquisitions, we aim to create value through development in locations where quality, scarcity and long-term demand support enduring value. Our investment approach is patient, disciplined and long term. We understand how workplace expectations are evolving and are committed to creating exceptional environments that meet the needs of the world’s leading occupiers. Backed by the strength of KKCG, we have the capital, expertise and conviction to invest through market cycles and deliver lasting value.”
Petr Pujman, chairman – KKCG Real Estate Group, added: “Our strength lies in combining the experience and investment philosophy of KKCG Real Estate Group with the deep local expertise of our London team. Together, we have the capabilities to unlock the full potential of exceptional assets in the best locations and create sustainable value over the long term. We are highly selective in where we invest. Every international opportunity is assessed with the same discipline and long-term perspective that underpins our overall approach to real estate development and investment.”
Acquisition financing for the transaction was provided by LBBW/Berlin Hyp and Aareal Bank.
