The previous office of Lehman Brothers, the investment bank which went bust in the recent economic turmoil, is at present occupied by Nomura, who took over the European assets of the failed bank.
However, the Watermark Place Development, which has an office space of 525,000 sq ft, are to be the new office interiors of the Japanese conglomerate, as it has decided take on an office relocation to move to the City in order to gain recognition as a force in the investment industry. This move will also ensure that they are closer to their client base as well. The moving terms have been reached and an agreement has been finalized.
In order to cover the East London estate’s rental losses, which will occur as a result of Nomura’s departure from
The insurance payout was guaranteed in December for the eventuality where Lehman Brothers could not honour its contract. Canary wharf, thanks to the rent insurance, would only incur losses on the regular rental income if they fail to find a new tenant in the next 5 years.
However, Canary Wharf Could come still be in some problems if it takes an extended period of time to find a new tenant, as there could be a decrease in the rental value.
The Insurance payout will come as a relief to those who feared Canary Wharf will suffer devastating losses due to Nomura