ING, Bank of China and HSBC close financing deal for London's 'Cheesegrater'

The Bank of China (Hong Kong), HSBC and ING recently closed one of the UK’s largest real estate financing deals by securing the finance for the acquisition of an iconic building in London, known as the ‘Cheesegrater’.

The 46-storey Leadenhall Building was bought earlier this year by Hong Kong-listed real estate company C C Land Holdings Limited for £1.15 billion.

The three leading banks acted as joint mandated lead arranger, joint bookrunner, joint coordinator and joint hedge coordinator by providing financing for the asset. 

The deal marked the largest acquisition of a single building in the UK since December 2014, when the HSBC Tower in Canary Wharf was acquired for £1.174 billion, and underpins the strong global investor interest in London’s real estate market.

C C Land’s deputy chairman Dickie Wong said the company was confident about the long-term prospects of the London property market.

He said C C Land “will continue to look for potential investment opportunities in this city, especially on those trophy and iconic buildings similar to The Leadenhall Building”.

Mike Shields, head of Real Estate Finance UK, USA & Asia, ING Bank, added that the  transaction shows “our expertise in financing landmark office properties and is a perfect mix of our leading UK real estate finance franchise and ING's extensive network in Asia”.

The transaction was one of the most significant real estate financing deals to be agreed in London in recent years, added Andy Armstrong, global co-head of Corporate Real Estate HSBC. 

The Leadenhall Building is the tallest building in the City of London, and the acquisition was dubbed as China’s biggest investment in the UK property market, The Telegraph had reported.