News | Real Estate

Tuesday 16th May 2006

SJ Berwin LLP's real estate division posted a strong year (year to 30th April 2006) with fees totalling over £29 million, representing a 17% increase on the figure of £25 million for 2004-2005.  This was above the increase budgeted by Bryan Pickup, head of department.  The turnover figure for real estate now represents 21% of SJ Berwin's total income in London, illustrating the significance of the real estate practice in the firm.

A number of major deals impacted on the results:

• the work for AXA on its successful bid to manage the £2.5 billion property portfolio of the Co-Operative Insurance Society, followed by a disposal and lettings programme,
  
• a total of over £1.3 billion of sales for long established client The British Land Company, including the £537 million sale of One Plantation Place in the City and  purchases for its city acquisition programme,
  
• advising Matrix on over £800 million of sales including Alban Gate and Cazenove's HQ,
  
• acting for Hilton on the sale/manage back of 15 hotels for £382.4 million and sale of 11  more for £111 million,
  
• advising Arlington on the structuring of the disposal of its interest in the Whitgift Shopping Centre in Croydon for £220 million

It was also a year that saw a significant number of new clients including: Brockton Capital, set up by entrepreneurs David Marks and Jason Blank, Evans Randall the private investment bank for whom SJ Berwin advised on over £350 million of real estate in the year and Canadian property company Jesta Capital for whom over £200 million of acquisitions were made, including Deutsche Bank's offices in the City.

The firm was also successful in its bid to win the Crown Estate's mandate to provide legal services for its Regent Street portfolio, following a competitive tender.  This is a 4 year appointment.

Bryan Pickup commented, "We have had a strong financial year in all areas of the real estate practice.  We were the most highly noted planning firm in the UK (Planning Magazine), appointed 3 new partners in 2005 and 2 more in 2006, including a lateral hire and have built on our European real estate offer based in France, Germany and Italy. The opportunities created by the new REIT legislation bode well for 2006/7 and we aim to continue the momentum of new client wins and increasing work from our blue chip client base."

• On 1 June 2005 SJ Berwin LLP, an English limited liability partnership, took over the business of the SJ Berwin general partnership.  SJ Berwin LLP or an affiliated undertaking has an office in Berlin, Brussels, Frankfurt, London, Madrid, Milan, Munich and Paris.
  
• SJ Berwin LLP was named 'UK Firm of the Year' at the 2005 Legal Week Awards on 30 November.  The award recognised SJ Berwin's five years of international expansion and its involvement in a series of high quality deals.
  
• SJ Berwin's Real Estate Division totals 118 staff of which 22 are partners, with 3 additional tax partners, and 50 assistants, encompassing the disciplines of Commercial Real Estate, Construction, Planning & Environment, Property Litigation, Real Estate Funds and Tax.  There is an increasing emphasis on cross firm activity with related areas of Banking and Corporate.  The division acts for blue chip clients including British Land, Royal Bank of Scotland, the Hilton Group, Brixton plc, AXA, The Crown Estate, Marks & Spencer and Gazeley.
  
• The Real Estate Team is Legal Business Real Estate Team of the Year 2005. 
  It was also named "Real Estate Team of the Year" in the Lawyer Magazine Awards 2004, following its advice on the RBS/Canary Wharf transaction the highest-value property investment transaction in the UK in 2004.
  
• Revenue from Real Estate represents approximately 21% of the firm's total revenue in London.