Norway鈥檚 sovereign wealth fund and The Crown Estate have expanded their central London real estate joint venture, buying three assets from Aviva Life & Pensions UK and Canada鈥檚 Public Sector Pension Investment Board (PSP Investments).
The Regent Street Partnership, a joint venture between The Crown Estate and Norges Bank Real Estate Management (NBREM) 鈥� which manages the NOK8trln (鈧�852bn) Government Pension Fund Global (GPFG) 鈥� has acquired interests in the prime retail and office assets for 拢120m (鈧�140m).
Part of the deal involved the partnership buying the 94-year unexpired lease on 263-269 Oxford Street and 3-5 Swallow Place 鈥� the Regent Street Partnership already owned the property itself.
This property consists of 16,000sqft of Oxford Street retail space and 19,000sqft of office space.
It also acquired 100% of 1 Princes Street and 6 Swallow Place, which comprises 2,000sqft of retail space and 4,000sqft of office space.
Thirdly, it took the 33% interest in 2-4 Princes Street, giving it full ownership of the property which comprises 6,000sqft of retail space and 7,000sqft of office space.
Regent Street Partnership, in which NBREM has a 25% stake, will now manage the properties directly.
No financing was used in the acquisition.
In January this year, the Regent Street partnership signed a deal to , acquiring it from Standard Life.
The Regent Street Partnership between the two institutional investors dates from 2010 and the oil fund鈥檚 first investment in unlisted real estate, properties.
