Font Size

- Aa +

Mon 24 Nov 2014 01:59 PM

Font Size

- Aa +

Abu Dhabi bank agrees $490m loan for luxury London project

National Bank of Abu Dhabi announces financing deal to create homes close to Buckingham Palace

Abu Dhabi bank agrees $490m loan for luxury London project

National Bank of Abu Dhabi (NBAD) and Abu Dhabi Financial Group (ADFG) on Monday announced the completion of a AED1.8 billion ($490 million) financing deal for one of the largest redevelopment projects in central London.

1 Palace Street comprises 271,051 square feet of space adjacent to Buckingham Palace in the exclusive area between St James's, Mayfair and Belgravia.

The development of 72 luxury apartments, a restaurant and health centre, is expected to be completed in late 2017, the companies said in a statement.

Integrated Alternative Finance (IAF), a subsidiary of Abu Dhabi Financial Group (ADFG), sourced, structured,and arranged the deal with NBAD, the statement said, adding that the loan was structured through a combination of senior debt and a preferred equity tranche underwritten by IAF.

Farid Barakat, country CEO and managing director of NBAD's London branch, said: "Providing financing to the exclusive residential development at 1 Palace Street is a good proposition for NBAD.

"ADFG has put together a compelling strategy to create one of Europe's foremost luxury properties in London's most desirable postcode. We look forward to collaborating with ADFG further as this landmark project becomes reality."

Jassim Alseddiqi, CEO of Abu Dhabi Financial Group, added: "To work with NBAD's London Office and secure the AED1.8 billion financial deal has been very rewarding, particularly given the high-profile, ambitious nature of the project.

"The transaction will allow 1 Palace Street to become one of the most desirable addresses in the world and will set a new standard for ultra-prime residential developments in London."

Headquartered in Abu Dhabi, ADFG is a multi-billion dollar alternative investment firm with operations encompassing investments, asset management, advisory and research, financing and structuring solutions, securities trading, and real estate development.

For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.