M&G Prudential Invest Millions in London Property
Investment managers M&G Prudential are reportedly investing £825 million in a new office development in the heart of London. The commitment to develop this commercial property shows the company’s belief that the capital will remain an international financial hub long into the future, even after Brexit.
M&G Prudential acquired the land at 40 Leadenhall Street and plan on rescuing a previously abandoned commercial property project to put to their own use. The investment firm are set to build one of the largest office complexes in the UK and a whopping 900,000+ sq. ft, the building will mainly comprise of two towers measuring 14 and 34 storeys. The striking architecture will certainly dominate the skyline of London’s financial district. Interestingly dubbed ‘Gotham City’, the troubled metropolis from Batman, the project’s construction is set to begin in early 2020 and is scheduled to be completed towards the end of 2023.
Commercial property demand in London
According to M&G Prudential’s Global Head of Real Estate, Tony Brown, one of the reasons M&G chose London as the site of their new offices is that the city offers great value for money. He explains that the capital’s “commercial property market currently offers good value relative to other capital cities such as Paris and Tokyo, partly due to Brexit-related uncertainty.” He goes on to outline his belief that because building developments in London has slowed down in recent years, quality, eco-friendly offices such as ‘Gotham City’ will “be in demand” and offer a healthy return on investment in the future.
The design of M&G's new building centres around environmental progression and energy saving. Indeed, the building is set to be the next generation of city centre commercial property, inspiring future projects to follow its example. According to current plans, architects believe the property will reduce its carbon emissions by at least 40% more than the current regulations and achieve a BREEM Excellent rating.
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