PNB, Malaysia’s biggest fund management company has recently acquired 2 prime property London commercial offices worth £550mil. The offices, located on 90 High Holborn and One Exchange Square, was purchased from German fund manager KanAm, making the latest purchase the forth in its portfolio of properties in the international financial centre.
One Exchange Square is tenanted by the European Bank for Reconstruction and Development, a quasi public organisation, while 90 High Holborn is the headquarters of law firm Olswang.
The other international properties acquired by PNB are –
- A 12 storey office space in in Milton & Shire House on 1 Silk Street for £350mil from US investor Beacon Capital which was purchased in December.
- A 9 storey commercial office with a basement floor located on 25 Basinghall Street, worth £270mil from Irish development and investment company D2 which was purchased in January.
PNB’s first foray in international property was in Australia where it bought Santos Place in Brisbane for A$290mil in August 2010 from Nilson Properties.
Over the past few months, Malaysian companies have been turning their focus to the London property market. Besides PNB, Malaysia’s EPF (The Employees’ Provident Fund) and Tabung Haji have also been looking to acquire properties in London, however, in the case of the Tabung Haji funds, whatever it purchases must be syariah-compliant, which means the building must be used for halal activities.
The EPF funds however has reportedly set aside £1bil solely for investments in London properties. EPF has so far spend more than £600m in London purchases.