GreenOak has sold Dixon House to MAPFRE SA, the leading European insurer.
Funds managed by GreenOak acquired Dixon House in July 2013 for £18.1 million in an off-market transaction with the intention of carrying out a major rebuild behind the Grade II listed façade of the building and lease up of the space following completion. Having secured vacant possession, planning permission was gained for a Fletcher Priest Architects scheme involving a major reconfiguration of the floor plate and the addition of 2 additional floors, taking the building from its original 37,684sqft to a planned 49,476 sqft (a 31% increase) and from 73% to 83% gross-net efficiency. Work on the refurbishment commenced in Q3 2015 and will complete in Q1 2017, offering high quality modern space within a stunning listed façade in the heart of London’s insurance district.
The building has been sold to MAPFRE for £35.5 million and MAPFRE will fund the completion of the rebuild works at a cost of approximately £15.8 million. GreenOak will manage the works which are being carried out by ISG. MAPFRE expect to occupy approximately 15% of the space with GreenOak managing the lease-up of the remainder on MAPFRE’s behalf. The scheme’s leasing agents are Knight Frank and Allsop.
Toby Phelps, Partner at GreenOak said “We are delighted to have finalised this sale to MAPFRE. Dixon House will provide them with a world class home in the heart of the City’s insurance district, opposite the Lloyds Register of Shipping. Their selection of Dixon House is a huge endorsement of GreenOak’s ability to identify under-managed assets and execute asset management plans that can deliver high quality accommodation to today’s modern occupiers. As a leading global insurer, MAPFRE’s decision to make Dixon House their London HQ highlights the quality of the location as well as the design and specification for this building.”
Artem Korolev, UK Principal at GreenOak continued “this exciting transaction further builds GreenOak’s track record as an integrated investor, asset manager and developer in the UK. Having made a number of acquisitions in 2015, we continue to have an active requirement for assets requiring repositioning, refurbishment, planning and leasing in Greater London and the South of the UK where we can use our asset management skills to add value for our investors.”
GreenOak were advised by Berwin Leighton Paisner and MAPFRE by CBRE and Simmons & Simmons.