Brookfield Properties Corporation (TSX:BPO) agreed to acquire 75% stake in London office assets from Hammerson plc (LSE:HMSO) for approximately £520 million on June 18, 2012. The portfolio consists of four operating assets totaling 884,000 square feet, 99 Bishopsgate, Leadenhall Court, 1 Puddle Dock, and 50% stake in 125 Old Broad Street. In addition, the acquisition includes a development site, Principal Place and buildings on Shoreditch High Street. Under the terms of agreement, Brookfield is funding the acquisition through the assumption of debt worth £66 million, additional property-level debt expected to be put in place prior to close, and from available cash resources. Payment of £329 million in respect of 99 Bishopsgate, Principal Place and two smaller assets will be received by September 30, 2012. 125 Old Broad Street and Leadenhall Court will complete by June 30, 2013 for £189 million. The operating property located at 99 Bishopsgate, the London Wall Place development site, and a group of smaller assets closed on September 28, 2012. The proceeds will be used to increase scale and focus through investment in retail developments and acquisitions. The sale is expected to be broadly neutral to 2012 earnings of Hammerson plc.

John Fordham, Emma Kendall, Quynh Nguyen, Charlie Williamson, Ian Poynton, Samuel Newhouse, Colin Hargreaves and Alan Rafferty of Freshfields Bruckhaus Deringer LLP acted as legal advisor and KPMG acted as accountant for Brookfield Properties. Simon Staite of Nabarro LLP, Jonathan Solomon of Clifford Chance LLP, Julian Pollock and David Paterson of Herbert Smith LLP acted as legal advisor for Hammerson plc. Mike Edwards of CBRE acted as a real estate advisor and Deutsche Bank AG acted as a financial advisor to Hammerson plc.

Brookfield Properties Corporation (TSX:BPO) completed the acquisition of 75% stake in London office assets from Hammerson plc (LSE:HMSO) on June 28, 2013.