British Land signs new lease with Credit Agricole for London HQ

[LONDON] Credit Agricole SA has extended the lease for its London headquarters at the Broadgate office complex, the building's joint owner British Land Co said in a statement.

The French bank will stay in the building until 2025 after canceling an earlier plan to move to the Canary Wharf district following the Brexit vote, people familiar with the matter said in September.

"Uncertainty has increased, so you are getting people thinking more carefully; that is inevitable." British Land Chief Executive Officer Chris Grigg said on a call with reporters. However, the deal with Credit Agricole is "a sign that there are some financial institutions who are prepared to commit." More than 1,900 firms are likely to review their office-space requirements in London following the UK's decision to leave the European Union, real estate researcher DealX said in July. British Land wrote down the value of its properties by 2.8 per cent to £13.9 billion ($24.4 billion).

The landlord will also speculatively develop another building, which is being vacated by UBS Group AG, at the complex next to the Liverpool Street railway station.

BLOOMBERG