First Acquisition in Asia
Chelsfield is pleased to announce that its Asia value-add Fund has acquired the Provident Square, a 210,000 sq ft neighbourhood shopping mall on Hong Kong island, in a JV with a fund manager, Pamfleet, and two local partners for US$257m. The property is located in North Point, which is a densely populated and mature residential area on Hong Kong island and approximately a 10-minute drive east from Central. It has a 200 metre street frontage and around 50,000 residents within a short walking distance.
Chelsfield sees a tremendous opportunity to transform the physical appearance of the centre to enable it to invigorate the tenant mix and positively rebrand the asset. Chelsfield is taking the lead on the asset management strategy but will oversee the execution jointly with Pamfleet.
Nick Loup, Chief Executive Officer of Chelsfield Asia, said, “We are delighted that our friends at Pamfleet and our two long-standing local partners ASI and CSI have joined us in a joint venture and look forward to refreshing the mall to add value to the local retail offer.”
This is the first asset for the value-add Asia Fund and there are currently two more deals currently under exclusivity. Further acquisitions are expected throughout 2018.
Burberry will relocate its Knightsbridge store to no.1 Sloane Street in 2020
Burberry is the first tenant to be publicly announced for one of the seven new flagship stores planned by Chelsfield as part of the first phase of redevelopment on The Knightsbridge Estate, taking place at the northern end of The Estate, fronting Brompton Road and Sloane Street.
The new Burberry store at no.1 Sloane Street builds on the relationship between the brand and Chelsfield following the partnership that saw the creation of Burberry’s Bond Street flagship store in 2005, and underlining Chelsfield’s commitment to building authentic relationships with its partners. Burberry has understood Chelsfield’s vision for re-establishing the area as the home of luxury in London and committed early to working with Chelsfield on this significant project.
“We are delighted to once again be working with Burberry, one of the UK’s leading brands, in a partnership that will see the creation of an outstanding new store within The Knightsbridge Estate’s development on the corner of Sloane Street and Brompton Road. This builds on a long-standing association between the two companies and epitomizes the Chelsfield philosophy of establishing long-term relationships with exceptional and like-minded organisations” said Elliott Bernerd, Chairman of Chelsfield.
Hollandgreen Wins Prestigious Award
The Royal Institute of British Architects (RIBA) has named Chelsfield’s high-end residential development in Kensington by OMA with Allies and Morrison and The Design Museum by John Pawson as one of 50 winners of the 2017 RIBA London Regional Awards.
“The year has demonstrated once again the breadth of the capital’s architectural output at the very high level that the RIBA programme requires, and the juries took enormous pleasure in selecting a most exemplary set of schemes,” said Jury chair Matthew Lloyd.
Hollandgreen and The Design Museum will now go on to compete in RIBA’s National Award program, the winners of which will create the shortlist for the RIBA Stirling Prize – the highest award for architecture in the UK.
Elizabeth House is Sold on Plan
The 1.4m sqft office-led development on the South Bank, also known as One Waterloo, is one of the most high-profile in London.
The sale attracted interest from eight bidders with a deal made with HB Reavis.
Competition was even greater than anticipated when a sale was first considered last summer (2016) demonstrating a strong appetite from investors for this part of London.
550 Madison Avenue, Chelsfield Returns to the US
Chelsfield, in partnership with Olayan America, purchased the iconic Manhattan building. Known as the Sony building until now, it had only changed hands on two occasions since its built in 1984 for AT&T – to the Sony Corporation in 2002 and in 2013 to the Chetrit Group, the immediate past owner.
“We are delighted to partner once again with Olayan on a trophy property in a world-class city,” said Elliott Bernerd, founder and joint Chairman of Chelsfield in 2016. “We are especially pleased that after our 15-year absence, Olayan America facilitated our return to the U.S. market as asset manager of this iconic property.”
The property is effectively 100 percent vacant, currently occupied by one restaurant tenant holding 5,000 sqft. This provides Chelsfield and Olayan an opportunity to rebrand the building and create value by renovating and reconfiguring the existing space.
“The property has been maintained to a high standard and has never previously been available to the open market for office leasing,” said Tony Fusco, head of Real Estate at Olayan America in 2016.