Chanel New Bond Street

Background:

Owned by a Swedish closed ended life insurance fund managed by SEB Investment Management, the property had been in the same ownership since the early 1990’s.

A multidisciplinary JLL team worked closely with SEB Investment Management over several years spanning occupational, professional and capital markets experts in the evolution and delivery of what is now Chanel’s European flagship retail store and offices. 158-159 New Bond Street is one of, if not the best asset on Bond Street, comprising approximately 38,000 sq ft of super prime retail and office accommodation let in its entirety to Chanel until May 2036.

In Q2 2020 SEB Investment Management approached JLL London Capital Markets team to consider pricing and strategy for sale, with a target to return capital receipts to investors by October 2020.

Strategy:

JLL conducted a bespoke and targeted marketing campaign in July 2020 through a strict NDA and invitation only process. This targeted approach enabled JLL to offer a truly exclusive investment opportunity to the market, allowing the select group of investors to undertake their pre bid due diligence in a controlled environment.

Results:

The targeted campaign enabled JLL to carefully control the messaging to the global investor audience, as well as managing any external market interest which may not have been accretive to the process. This generated strong and competitive tension from a select investor base made up of both institutional and private capital, as well as investors who had not historically participated in a process to acquire a Bond Street asset. The result produced a record pricing level being achieved for an asset of this lot size on New Bond Street with the end sale completing in September 2020.