Nuveen Real Estate divests London office to Hayfin & Capreon

Hayfin, in partnership with Capreon, has acquired 70 St Mary Axe, a landmark office building in the City of London, from Nuveen Real Estate.

70 St Mary Axe, London

Although the parties did not disclose the value of the deal, it is said to be worth over £300 mln (€348 mln).
This 21-story, Grade-A office tower, known for its distinctive design and prime location, was developed by Nuveen and opened in 2019. It boasts high-quality amenities and strong ESG credentials, evidenced by its BREEAM Excellent certification. The building is fully leased to 13 prominent tenants, including Sidley Austin, and is conveniently located near Liverpool Street and Bank stations. Hayfin anticipates continued strong performance from the building due to the City of London's robust economic activity and growth.
Hayfin predominantly financed the acquisition, with support from Capreon, a long-standing real estate investment partner since 2017. Capreon will also manage the asset. This deal follows Hayfin's previous acquisition of Berlin's Gropius Passagen from Nuveen in September, strengthening their collaboration. It also expands Hayfin's extensive European and UK real estate portfolio, which has seen over €3 bn invested in more than 40 deals. 
For Capreon, this acquisition underscores its belief in the premium UK office market, building on its recent purchase of the "Technique" building in London and a landmark deal in Eindhoven.
Carlos Colomer, managing director at Hayfin, said: “70 St Mary Axe is a truly landmark London office building and an attractive addition to our real estate portfolio. This prime asset has an iconic design and outstanding location. Occupier demand for top-tier City offices with strong sustainability credentials remains robust, tracking significantly above the long-term average, with the number of jobs in the Square Mile having risen by 25% since 2019 while future supply declines.”
Raphael Noe, CEO at Capreon, commented: “We are pleased to be investing in 70 St Mary Axe, an iconic Grade A building that reflects the quality and long-term value we seek across our portfolio. We are delighted to work with Hayfin again, a long-term partner, and to have completed another smooth transaction with Nuveen. The building’s strong ESG credentials, high-quality amenities and focus on occupant wellbeing position it well within a market where demand for best-in-class workspace remains resilient.”
Liz Sworn, fund manager, at Nuveen, added: “We are pleased to have successfully divested 70 St Mary Axe to Hayfin and Capreon. Since opening, we established this landmark property as a premier Grade-A office destination with full occupancy, high-quality tenants, and best-in-class sustainability standards. The sale proceeds will be reinvested into other market opportunities, and we look forward to our continued partnership with both firms.”
Hayfin and Capreon received advice on the deal from Macfarlanes and CBRE. Representing the seller were Clifford Chance, Cushman & Wakefield, and Newmark. The transaction's debt financing was provided by Santander and CaixaBank.