Modon Enters London: Strategic JV with Broadgate REIT
Deal News | Jan 26, 2025 | Zawya
Modon Holding, an Abu Dhabi-based company, has announced a strategic partnership with Broadgate REIT to develop 2 Finsbury Avenue in London. This joint venture marks Modon's first foray into the UK prime real estate market. The development will feature dual high-rise towers and a 12-storey podium, promoting sustainability with a focus on energy efficiency and a net zero carbon footprint. British Land will manage the project while maintaining their ownership alongside GIC. Construction is underway with the building scheduled for completion in 2027. The project has already secured lease agreements with Citadel and Citadel Securities for over 33% of the available space. The partnership aligns with Modon's strategy to expand its international presence and diversify its portfolio, creating long-term value for shareholders.
Sectors
- Real Estate Development
- Investment Management
Geography
- United Kingdom – The development of 2 Finsbury Avenue takes place in London, marking Modon Holding's entry into the UK real estate market.
- United Arab Emirates – Modon Holding is based in Abu Dhabi, UAE, and the strategic partnership reflects its ambition to expand internationally.
Industry
- Real Estate Development – The article discusses the development of a new real estate project, 2 Finsbury Avenue, in London by Modon Holding in partnership with Broadgate REIT.
- Investment Management – The joint venture between Modon Holding and Broadgate REIT is an investment strategy aimed at expanding Modon's international portfolio and generating long-term returns.
Financials
- 50:50 – The equity ownership structure between Modon Holding and Broadgate REIT in the 2 Finsbury Avenue project.
- 750,000 sqft – Total area of the 2 Finsbury Avenue development.
- 261,000 sqft – Pre-let space to Citadel and Citadel Securities, with options for an additional 121,000 sqft.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Modon Holding P.S.C | Target company | Company | An Abu Dhabi-based company engaged in real estate, hospitality, and community development. |
| Broadgate REIT Limited | Bidding company/buyer | Company | A real estate investment trust jointly owned by British Land and GIC, focusing on the Broadgate campus. |
| British Land | Development and asset manager | Company | A UK-based property company managing the development at 2 Finsbury Avenue. |
| GIC | Co-owner through Broadgate REIT | Company | A global investment firm based in Singapore, partnering in the ownership of Broadgate REIT. |
| Sir Robert McAlpine | Main contractor | Company | A UK-based construction firm appointed as the main contractor for the 2 Finsbury Avenue project. |
| Citadel | Tenant | Company | A hedge fund firm that has secured a lease for space at 2 Finsbury Avenue. |
| Citadel Securities | Tenant | Company | A leading global market maker, part of Citadel, leasing space at 2 Finsbury Avenue. |
| H.E. Jassem Mohammed Bu Ataba Al Zaabi | Chairman of Modon Holding | Person | Chairman overseeing Modon's strategic initiatives and international expansion. |
| Bill O'Regan | Group CEO of Modon Holding | Person | Executive managing Modon's portfolio and strategic projects. |
| Simon Carter | Chief Executive of British Land | Person | Executive responsible for British Land's property development and management. |