HOOPP makes first U.K. real estate deal

The Healthcare of Ontario Pension Plan (HOOPP) has formed a major partnership deal that will see it take a 50% stake in the $159-million St. James’s Gateway development in London, U.K. and the adjacent Clydesdale block.

It’s partner, The Crown Estate, will retain freehold ownership of the blocks and grant the joint venture a new 150 year lease. The Crown Estate will oversee the development and manage the properties upon completion, which is expected in 2013.

Michael Catford, vice-president of real estate with HOOPP said, “St. James’s is one of London’s most internationally renowned destinations and we look forward to being a part of its future. This is HOOPP’s first direct property investment outside of Canada and in The Crown Estate we have found a great co-venture partner.”

The development will deliver 57,000 square feet of office space, 21,000 square feet of retail space and 19,000 square feet of residential space (15 units). It comprises the buildings on the western side of the block to the south west of Piccadilly Circus, bounded by Jermyn Street, Eagle Place and Piccadilly.