Allianz Real Estate, acting on behalf of several Allianz Group companies, has provided close to GBP 200 million in financing to a consortium of four sponsors to support the development of 105 Victoria Street. The 500,000 square foot development is designed to surpass sustainability benchmarks while providing a focal point for the local community.
105 Victoria Street will become a mixed-use development with a range of amenities. In addition to floors of retail and office, there will be affordable working space for young businesses and a number of leisure features. These include a rooftop urban farm designed to provide learning opportunities for local schools and fresh produce for local restaurants and cafes; a multi-purpose community space to be used for local sports teams, lectures, discussion groups and town hall events; and a ground floor village square with market stalls to promote local producers, designers and crafters.
Alongside the important social amenities will be a range of ambitious sustainability features that will enable the building to exceed current benchmarks. These include 100% electrical power use and embodied carbon solutions, that will exceed both Royal Institute of British Architects (RIBA) targets and the Greater London Authority’s aspirational benchmark.
Welput, the specialist central London office fund managed by BentallGreenOak (BGO), is the sponsor of 105 Victoria Street along with PSP Investments and existing investors in Welput, with BGO also acting as Development Manager. Construction will commence in Q3 2022 with expected completion late 2026.
This transaction is another example of Allianz Real Estate executing on its strategic aspiration to increasingly finance more transitional and future-oriented assets. This development matches the description of what the firm believes will be the post-pandemic asset: a prime location in a high-density city, sustainably operated and, with its wide range of service and amenities, a clear focus on user experience and well-being. Furthermore, London has become a major driver of growth. The city ranked first overall in Allianz Real Estate’s Cities That Work 2021 European office sector report, coming out significantly ahead in the analysis, despite the impact of Brexit, ranking first for global city status and human capital.