Three tenants in talks to take majority of Procession House

The revamp of Procession House, EC4, is not due to complete until the first quarter of 2020, but Goldman Sachs and Greycoat are already in advanced talks to prelet around 95% of it. Crowe UK, ICG Longbow and Intercapital are all understood to be looking to take space in the building, equating to around 100,000 sq ft of its 105,289 sq ft of space once completed. Guide rents for the refurbished property were between £65 and £75 per sq ft. Greycoat and Goldman Sachs joined forces to acquire the long leasehold for Procession House, the latter’s former office accommodation block, from LGIM Real Assets last July. It was marketed by Savills on behalf of LGIM for offers in excess of £67.5m. The City of London Corporation owns the freehold which is held on a long leasehold for a further 131 years geared to 5% of rents receivable, subject to a minimum ground rent. The current passing rent for offices is £4m pa, which reflects a low average of £40.50 per sq ft overall. A Crowe UK spokesperson said: “The firm has a lease expiry and is reviewing a number of options including staying in its current offices. It does not comment on market speculation.” Goldman Sachs, Greycoat, Intercapital and ICG Longbow have all been contacted for comment. To send feedback, e-mail louise.dransfield@egi.co.uk or tweet @DransfieldL or @estatesgazette