Today's Edition
ABU DHABI (WAM)
Modon Holding P.S.C on Friday announced the formation of a new 50:50 Joint Venture (JV) with Broadgate REIT Limited to deliver 2 Finsbury Avenue, a 750,000 square feet world-class development at Broadgate.
Modon will own a 50% stake, while British Land and GIC will each retain 25% ownership in the asset going forward through their ownership of Broadgate REIT.
The JV marks Modon’s first entry into London’s prime real estate market. British Land will remain the development and asset manager for the project, as the parties combine their development capabilities to deliver the landmark building.
The 2 Finsbury Avenue development is located at Broadgate, London, a vibrant office-led campus in the heart of the City of London. 2 Finsbury Avenue will be an iconic addition to the London skyline. Uniquely for London, it comprises dual high-rise towers: the 36-storey East Tower and the 21-storey West Tower and a 12-storey podium which will link the towers via a 7,000 sqft winter garden and include green spaces, leisure and a range of publicly accessible areas. Construction of the building is already underway and will be delivered into a supply-constrained market in 2027.
Jassem Mohammed Bu Ataba Al Zaabi, Chairman of Modon Holding, said, “Partnering with Broadgate REIT in the development of 2 Finsbury Avenue, is a key milestone in Modon’s strategy to pursue international growth, supporting our strategy to diversify our development and investment business outside of the UAE and another step towards creating long term sustainable value for our shareholders.”
For his part, Simon Carter, Chief Executive, British Land, said, “We are delighted to be partnering with Modon Holding on 2 Finsbury Avenue. The establishment of this new Joint Venture is a vote of confidence for both Broadgate and the City. The development is due to complete in 2027, where there is forecast to be a significant imbalance between demand and supply for new and substantially refurbished space, particularly in the city, leading to strong rental growth at the top end of the market. This transaction is another example of how we drive value through establishing innovative JV partnerships and is in line with our strategy to actively recycle capital.”
