Aviva Investors funds Arora's €204m London acquisition

Aviva Investors has finalised a £175 mln (€204 mln), three-year loan to The Arora Group. 

102 Petty France, London

This financing, sourced from various funds managed by Aviva Investors, will facilitate Arora's acquisition of 102 Petty France in St James's, Central London.
The landmark 48,774 m2, fourteen-story property, which offers views of St. James's Park, is currently leased to the Ministry of Justice. The ministry plans to vacate in 2028 as part of the UK Government’s "Plan for London."
Following the lease expiry, Arora intends to redevelop the property for hotel and residential use, with planning efforts to occur during the loan term. Surplus rental income from the existing lease will be used to amortise the debt.
Gregor Bamert, head of Real Estate Debt at Aviva Investors, said: “We are very pleased to complete our first financing with Arora, a bilateral transaction that demonstrates our increasing ability to provide bespoke debt offerings. Arora is well-placed to capitalise on what we believe is an excellent repositioning opportunity for this asset. We look forward to working with Arora as it executes its plans for the property.”
Surinder Arora, executive chairman of The Arora Group, added: “We are delighted to establish this important relationship with Aviva Investors. This successful engagement underscores the Arora Group's commitment to high-quality delivery, and we are grateful for the exceptional focus from the team that ensured the timely completion of the facility. Expanding the Arora Group’s strategic footprint into Central London is a significant achievement, and we look forward to realising our dynamic vision for this key asset, reinforcing our position in the market.”
CBRE advised Arora on the financing deal.