Gatehouse Bank advises Malaysian fund on first UK investment

Gatehouse Bank plc, a Kuwaiti-owned wholesale Shariah-compliant investment bank based in London, has completed the £ 165 million acquisition of the law firm SJ Berwin’s offices at 10 Queen Street Place in London, in collaboration with a flourishing Malaysian Sovereign Wealth fund.
Gatehouse acted as investment and Shariah adviser for the deal, which marks the Malaysian client’s first investment into the London real estate market and is a key part of its wider global investment strategy.
According to latest statistics, the UK accounted for £ 30 billion of global real estate volumes traded in 2011, with cross border investment playing an increasingly critical role.
This is particularly true in Central London, where foreign investment accounted for 85 percent of total cross border activity in 2010 and 2011.
Richard Thomas, CEO, Gatehouse Bank, said: “The global Islamic Finance markets are continuing to grow and diversify, and this latest deal offers a significant example of international cooperation and the extent to which funds can be mobilized around the world in a Shariah-compliant manner. The unique position of Gatehouse Bank — located in the heart of the City of London with a strong international client base — means that we can tap into the worldwide spread of Islamic economic activity for the benefit of our clients and investors.”
Adam Cavanagh, head of real estate at Gatehouse Bank, said: “The London property market, with its high concentration of global headquarters, long leases and upward only rent reviews, is still seen as a safe-haven for investment. This latest deal, for a property with a well-established tenant and in highly desirable location, exemplifies the qualities that overseas investors are looking for right now. As such, it presented an excellent opportunity to make an acquisition that promises long term income at an attractive yield.”