IJM Corporation Bhd has acquired a 143-year leasehold interest in 25 Finsbury Circus, formerly known as 1-5 London Wall Buildings, for £72.5 million (RM407.9 million) from private equity firm TPG Angelo Gordon.
Strategically located less than two minutes from Liverpool Street Station, the property is set for a £150 million sustainability-focused refurbishment, which will expand its gross internal area by 26% to 378,000 sq ft, IJM said in a statement.
The conglomerate is also in advanced negotiations with a high-quality tenant to lease over 60% of the building’s space.
“This investment aligns with IJM’s strategy to diversify its investment property portfolio geographically and establish a larger footprint in key global real estate markets,” the statement read.
Construction will commence immediately and is expected to be completed within 36 months.
Redevelopment Plans
Finsbury Circus is a collection of Edwardian-era office buildings completed in 1902, featuring Baroque Revival architecture. The redevelopment will introduce 48,771 sq ft of flexible Class E space, including a two-floor extension, modern office amenities, and energy-efficient systems, while preserving the site’s architectural heritage. The revamped space will cater to corporate offices, retail tenants, and lifestyle businesses.
IJM’s Group Chief Executive Officer and Managing Director, Datuk Lee Chun Fai, expressed confidence in London’s evolving financial district.
“This investment presents a rare opportunity to revitalise a historic landmark while delivering a modern, high-performance workspace tailored to the needs of global businesses. With advanced negotiations underway for a long-term tenant, this acquisition aligns with IJM’s strategy to build a high-quality, income-generating portfolio that delivers stable and recurring income,” Lee said.
Strengthening UK Presence
The acquisition bolsters IJM’s UK real estate footprint, complementing assets such as the 15-storey Royal Mint Gardens Phase II aparthotel near Tower Bridge and a proposed £50 million acquisition of a 50% stake in JRL Group Holdings Ltd.
Shares in IJM closed five sen or 2.51% lower at RM1.94 on Wednesday, giving the company a market capitalisation of RM7.08 billion. Year-to-date, the stock has declined over 31%.
