UBS on Track for New Office Tower in the City
Global financial services firm UBS has agreed a deal with British Land and Blackstone to build a new 700,000 sq ft office tower in the City of London.
The new UBS office, which will become the firm’s European headquarters, will be one of the biggest buildings in London’s financial district. The ┬ú340m property will be built on the site of the firm’s former office buildings at 4 and 6 Broadgate, which covered a combined 428,000 sq ft.
The decision to rebuild its City of London office cements UBS’s commitment to the capital’s financial district, and dispels fears that the banking group were considering a move elsewhere, which would have caused 5,000 jobs to be displaced or relocated.
Developer British Land and investment group Blackstone, which acquired a 50% stake in Broadgate last summer, plan to start building the new office tower next year and aim to complete the project in 2014.
According to The Independent, chief executive of British Land Chris Grigg said:
“We are delighted at this significant commitment by UBS to the City and Broadgate in particular. The transaction demonstrates the enduring appeal of this important City of London office estate.
“At the same time, the new building will enhance the overall quality of Broadgate while generating an attractive development return.”
The entire Broadgate estate is now reportedly valued at around ┬ú2bn.