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PRESS: Lloyds Banking Sells London HQ To Chinese Property Investor

LONDON (Alliance News) - Lloyds Banking Group PLC has sold its London headquarters to a Chinese ...

Alliance News 7 December, 2017 | 2:20PM
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LONDON (Alliance News) - Lloyds Banking Group PLC has sold its London headquarters to a Chinese property investment company for an undisclosed price, Reuters reported on Thursday.

Under the terms of the sale to Hengli Investments Holding, Lloyds will lease back the 25 Gresham Street building, which it has occupied since its construction, for the next 20 years. The building sits in the heart of the of London’s financial district.

The sharp drop in the value of sterling following Britain’s vote last year to leave the European Union has lured foreign investors into the British real estate market, Reuters said. That coincided with plans outlined by Lloyds in 2016 to cut its non-branch property portfolio by 30% as part of a cost-cutting drive.

Reuters said Lloyds, at the time, said that the initiative would result in one-off savings of GBP100 million and an additional GBP100 million in run-rate savings by the end of 2018.

https://www.reuters.com/article/lloyds-headquarters/update-1-lloyds-sells-london-headquarters-to-chinese-firm-in-lease-back-deal-idUSL8N1O72OI

By Joshua Warner; joshuawarner@alliancenews.com

Copyright 2017 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article
Security Name Price Change (%) Morningstar
Rating
Lloyds Banking Group PLC 66.99 GBX 0.28
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