NEW YORK & LONDON--(BUSINESS WIRE)--Oxford Properties, the global real estate arm of the Ontario Municipal Employees Retirement System (“OMERS”), in a joint venture with Temasek today announced the signing of an agreement to purchase the 497,021 square feet Blue Fin Building in London, UK from a subsidiary of Time Inc. The deal is expected to close by the end of the fourth quarter of 2015.
Paul Brundage, Executive Vice President and Senior Managing Director, Oxford Properties Europe, said: “The Blue Fin Building is an iconic asset located in the heart of London’s vibrant South Bank district and is a great addition to Oxford’s European portfolio, which now stands at over C$7 billion in assets under management in London and Paris. This transaction reinforces Oxford’s belief that specific emerging “live-work-play” destinations will outperform over time as a result of infrastructure improvements and shifting occupier dynamics. We are excited to enter into this transaction with Time Inc. and look forward to building a strong relationship with them in the years ahead as an important occupier and customer. This transaction represents the second joint venture in London with our partner Temasek as we look to build on our successful partnership at MidCity Place, London.”
Time Inc. Executive Vice President Jeff Bairstow commented: “We are very pleased with the outcome of this transaction. It’s logical for us to monetize this valuable asset and place it in the hands of professional investors with proven track records. As part of the sale, we will lease back space at the Blue Fin Building and it will remain our UK headquarters. Since Time Inc. became an independent US public company in 2014, Time Inc. UK has invested in expanding its brands, content and audiences into new revenues streams, through a combination of organic investment and acquisition. These investments allow us to more effectively fulfill consumer passions with targeted content, products and services; as well as serve the advertisers who wish to reach them.”
The purchase price is £415 million.
The building is 100% leased, with Time Inc. UK remaining as the majority occupier under a lease back of approximately 160,000 square feet, and the balance being multi-let to a diversified tenant base of 12 occupiers. Time Inc. UK has occupied the site since 2007 when the building was originally developed.
About Time Inc.
Time Inc. (NYSE:TIME) is one of the world's leading media companies, with a monthly global print audience of over 120 million and worldwide digital properties that attract more than 140 million visitors each month, including over 60 websites. Our influential brands include People, Sports Illustrated, InStyle, Time, Real Simple, and Southern Living, as well as more than 50 diverse titles in the United Kingdom.
About Oxford Properties Group
Oxford Properties Group is a global platform for real estate investment, development and management, with over 2,000 employees and C$37bn of real assets that it manages for itself and on behalf of its co-owners and investment partners. Established in 1960, Oxford was acquired in 2001 by OMERS, one of Canada's largest pension funds with over C$72bn in assets. Oxford has regional offices in Toronto, London and New York, each with investment, development and management professionals who have deep real estate expertise and local market insight. Oxford now has approximately C$7bn of assets under management in Europe, with a focus on core office and high street retail assets in Central London and Paris.
For more information about Oxford visit: www.oxfordproperties.com.
About Temasek
Incorporated in 1974, Temasek is an investment company based in Singapore, with a S$266 billion portfolio as of 31 March 2015. Temasek's portfolio covers a broad spectrum of sectors: financial services; telecommunications, media & technology; transportation & industrials; consumer & real estate; energy & resources; life sciences & agriculture. Its investment themes reflect Temasek’s perspectives on long term trends:
• Transforming Economies;
• Growing Middle Income Populations;
• Deepening Comparative Advantages; and
• Emerging Champions
Temasek’s compounded annualised Total Shareholder Return since inception in 1974 is 16% in Singapore Dollar terms, or 17% in US Dollar terms.
The company has had a corporate credit rating of AAA/Aaa since its inaugural credit rating in 2004, by rating agencies Standard & Poor's and Moody's respectively.
Temasek has offices in 10 cities around the world, including São Paulo and Mexico City in Latin America; and London and New York, which both opened in 2014. The other offices are in Asia, including China and India.
For more information on Temasek, please visit www.temasek.com.sg.
For the latest Temasek Review, please visit www.temasekreview.com.sg.
