FOR IMMEDIATE RELEASE
MTD GROUP SEALED RM1.5 BILLION FINANCING FACILITY FROM AUSTRALIANSUPER AND TH REAL ESTATE FOR LONDON’S ONE CROWN PLACE DEVELOPMENT
• MTD Group received RM1.5 billion development facility from AustralianSuper and TH Real Estate for its 370,500 sq ft One Crown Place development in Shoreditch, London EC2.
• AustralianSuper is the largest industry super fund in Australia and TH Real Estate is one of the largest real estate investment managers in the world.
KUALA LUMPUR, 24 SEPTEMBER 2018 – MTD Group announced that it had closed a financial deal of RM1.5 billion development facility for its One Crown Place development in London EC2 with AustralianSuper and TH Real Estate; respectively the largest industry super fund in Australia and one of the largest real estate investment managers in the world.
One Crown Place which has a gross development value (GDV) of £500 million is a 370,500 sq ft mixed used scheme developed by wholly owned subsidiary of MTD Group, MTD (Jersey) Limited. The project comprises 136,000 sq ft of office space, 7,000 sq ft of retail, a 41-bed boutique hotel, 246 luxury residential units and a historic Georgian terrace that will be fully restored as part of the scheme.
Designed by award-winning international architectural practice Kohn Pedersen Fox Associates (KPF), One Crown Place is a combination of modern, cutting-edge architecture housing a mix of high specification offices with spectacular luxury residential units across several buildings, including two striking terracotta clad towers, the tallest of which is 33 storeys high. An additional level of character is created through the restoration of the last remaining Georgian terrace in the area, which will house a clubhouse for the residents and a boutique hotel.
The development is ideally placed for local transport links, within five minutes of both Moorgate and Liverpool Street stations with the City of London, Broadgate Circle, Old Street’s Silicon Roundabout, Spitalfields Market and Shoreditch’s creative hubs all within easy walking distance.
The 246 luxury residential units consist of one bedroom (133 units), two bedroom (94 units), three bedroom units (15 units) and three-bedroom duplex (4 units) managed by MTD Group’s development manager and sales broker for the residential and commercial units, CBRE Residential. CBRE Residential is a unit under CBRE Group, Inc., the world’s largest commercial real estate services and investment firm (based on 2015 revenue). Meanwhile, Bespoke Hotels, the largest independent hotel group in the UK, has been appointed to operate the 41-room hotel in the Georgian terrace on Sun Street.
Early this year, Mace, a global construction firm was appointed as the main contractor at One Crown Place and construction is now well under way. The lift cores have reached level 12 and the steelwork has started to be installed. The facades will start to be erected in early 2019 and the building is due to be complete in early 2021.
Commenting on the newly sealed RM1.5 billion financial facility, Mr Tee Kim Siew, Group Chief Financial Officer said: “We are very pleased with the outcome of this transaction and the efficient and successful collaboration between multiple stakeholders across the globe. This is a great milestone for us, thanks to the strength of MTD’s brand name and the people behind the development of One Crown Place. All of these will further strengthen our position in London. We are extremely proud and look forward to continue to build relationships with our new partners TH Real Estate and AustralianSuper.”
Jason Peasley, Head of Mid Risk at AustralianSuper, says: “The One Crown Place transaction strongly aligns with our real estate debt strategy to target high quality opportunities secured against institutional assets in top-tier locations in European cities. Expanding our relationship with TH Real Estate – who has an impressive track record in the European debt sector – allows us to partner with a market leading global manager to access high quality real estate opportunities like the One Crown Place development by MTD Group.”
Shawn Kaufman, Director at TH Real Estate, adds: “We are pleased to be at the forefront of the market in providing MTD Group with a single financing solution for the One Crown Place development and believe this transaction demonstrates the combined strength of TH Real Estate and AustralianSuper. As part of the now formalised debt mandate, together we are able to implement an investment strategy that is both meaningful and relevant in the current environment.”
AustralianSuper is Australia’s largest pension fund and currently manages AUD 2.3bn in the direct credit portfolio together with AUD 10bn in the property equity portfolio. TH Real Estate has US$3.3bn of CRE Debt-related AUM in Europe. In 2014, it successfully launched the £300m Global Real Estate Debt Partners – Fund I (UK) strategy, which was followed-up by the £500m GREDP Fund II with a number of separate accounts managed on behalf of various other third party investors.
MTD Group acquired the One Crown Place development from UBS in 2013. The project marked MTD Group’s re-entry into London’s real estate and property market after more than 15 years. Previously, between 1996 and 2000, the group had a one-third stake in Spitalfields Development Group (SDG) – a joint-venture company that undertook the Spitalfields market redevelopment project through its subsidiary Metacorp Bhd. Metacorp sold the stake to British property development and investment company Hammerson plc in 2000 before development started.
Notes to editors:
About MTD Group
MTD Group is an infrastructure-based conglomerate, established in 1993 and headquartered in Kuala Lumpur, Malaysia. Its principal business activities range from civil engineering & construction, real estate & property development, investments, manufacturing of precast related products and infrastructure concessions (tolled highways) including operations and maintenance.
In Malaysia, among the mega infrastructure projects undertaken by the Group includes the Malaysia-Singapore Second Crossing, Penang Second Bridge, Kuala Lumpur SMART Tunnel, Kuala Lumpur- Karak Highway (60 km), East Coast Expressway Phase 1 (174km), East Coast Expressway Phase 2 (69km) and the Klang Valley Mass Rapid Transit (KVMRT) Project.
The Group is an experienced player in the property development sector on the Malaysian and overseas fronts. Its portfolio includes the Blue Horizon, Airlie Beach; Whitsundays Queensland; 88 Dow Street in Port Melbourne, Six Murphy Street and 339 Rockley Gardens in South Yarra, Melbourne; Tanduk 5 Residency in Bangsar, Kuala Lumpur, Calabarzon Regional Government Centre in Calamba, and Nueva Ecija Government Centre in Palayan. Development in the pipeline includes the Bataan Government Centre in Balanga City and the New Clark City New Government Administrative Centre, Clark.
To-date, the Group has completed USD1.2 billion of projects ranging from normal Public Works Department – design and build contracts to build operate and transfer contracts. MTD is among the earliest to obtain ISO 9001 certification in the construction industry and has received various awards from the Malaysian Construction Industry. For more information, visit: www.mtdgroup.com.my.
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