CWG takes on One Park Place for £17.5m

By John Hill on January 18, 2010 12:26 PM |

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Canary Wharf Group has secured the One Park Place site near Westferry Circus for £17.5million.

The estate landlord picked up the long leasehold interests from receivers acting for Park Place SARL last week, after several years of interest.

Bernard McNamara's Grattan Properties purchased the site for £55million from Grenadier Investments back in 2007. A planning application for a 45-storey office building with office, restaurants and retail was granted by Tower Hamlets Council in August last year. A separate planning application was green-lit in 2007.

CWG announced the deal in the week after McNamara told Irish media he faced debts of around £1.3billion, having been successfully sued by investors for 62.5million euros after a fallout from a property deal.

Although the 0.87 acre site was not part of the original Canary Wharf masterplan, its position near Morgan Stanley's 25 Cabot Square office and sites at Westferry Circus make it an extremely attractive prospect for CWG.

A spokesman said no full plans for the site were in place as yet, but it was "pleased to have got hold of it for a good price". While no word has been received on whether CWG will retain any of architect Horden Cherry Lee's design, it is expected that CWG will call for alterations to improve access to the estate and West India Avenue.

Chief executive George Iacobescu said: "There is a relative lack of prime office space being developed in Central London after 2011.

"With an improving economy, transport enhancements and further regeneration elsewhere in East London, Canary Wharf sites such as One Park Place will become increasingly attractive to potential tenants."