Supporting a large-scale transaction.
The engineering standards within a building or wider estate can significantly affect the value of a scheme. The Broadgate Estate is a vast office and retail complex located near Liverpool Street in London, and our expertise was sought to provide a clear picture of its current state and functionality.
Our Operational Engineering team was appointed by Singapore’s sovereign wealth fund, GIC. It was looking to purchase a 50% stake in the Broadgate Estate complex, which features 16 buildings with 120 tenants, and included the under-construction 5 Broadgate office building that had a 2015 completion deadline. We were brought in to provide pre-acquisition engineering advice and carry out surveys during a tight three-week timeframe.
We produced extensive mechanical and electrical (M&E) due diligence to advise the client on: the condition of the M&E services, the standards of maintenance, compliance with statutory requirements, lifecycle asset replacement and risks (in relation to the expiry dates of the existing tenant leases), vertical transportation, and the estate’s sustainability levels (EPC reviews etc).
This extensive due diligence supported the progression of the deal, which eventually went through. It completed on 23 December 2013 and, at the time, was the equal-largest single-asset transaction in UK real-estate history.