Mitsui Fudosan to sign tenant at new rental high

Mitsui Fudosan is close to securing a new West End rental high at 5 Hanover Square, W1. The landlord is understood to be in discussions with hedge fund Gladstone Capital Management, which is looking to take the top floor of the 85,600 sq ft building. The lease would for 10 years at a rent of around £142.50 per sq ft, with 24 months rent-free. While the rent remains dwarfed by the £250 per sq ft high achieved at 30 Berkeley Square, W1, in April 2019, when Steadview Capital took 2,572 sq ft on part of the sixth floor, it will be the highest rent achieved since then and sets a fresh benchmark for 2020. Gladstone is currently based at 20 Balderton Street, W1, where it occupies around 5,000 sq ft. According to Savills figures, at the end of 2019 the average prime rent achieved in the West End stood at £116.83 per sq ft, with average Grade A rents at £77.26 per sq ft – up 4% on the previous year. CBRE is the leasing agent at 5 Hanover Square. CBRE declined to comment. To send feedback, e-mail louise.dransfield@egi.co.uk or tweet @DransfieldL or @estatesgazette