PineBridge Lines Up Major Regional Office Property Acquisition

25 Nov 2025 | 16:15 | London | by Chris Borland

Fund manager working with Hobart Capital Partners on deal

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What: PineBridge Benson Elliot is closing in on acquisition of a 255,000 sq ft office in Birmingham

Why: Lewis & Priory Buildings being sold by CBRE on behalf of receivers

What Next: Should deal close, Pinebridge’s operating partner Hobart Capital Partners to implement string of asset management initiatives

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PineBridge Benson Elliot has agreed terms to acquire a 255,000 sq ft office complex in Birmingham that is being sold through a lender-led process, Green Street News can reveal.

Alongside operating partner Hobart Capital Partners, PineBridge has gone into exclusivity to purchase the Lewis Building and Priory Court office buildings in Birmingham. The agreed purchase price is a little short of the £65m mark, making it the largest office deal to have been agreed in the Midlands in four years.

PineBridge and Hobart have stepped in after a sale to Ekistic unravelled, sources said. The building was launched for a £73m sale by CBRE in March this year on behalf of appointed receivers. Green Street News revealed in September last year that both assets had entered receivership, after owner Gulf Islamic Investments (GII) breached loan covenants. German bank Deka is the lender.

The two properties, Lewis Building and Priory Court, have a total combined floor space of 255,000 sq ft and are multi-let to 14 tenants, generating a total passing rent of around £7m annually. About 95% of the rental income is secured against four office tenants. Other occupiers include BGF, Freightliner 6 and Regus.

The Ministry of Justice occupies the entirety of the 141,000 sq ft Priory Court, with the lease running until 2034 at a rent of £4.8m a year. The asset has a WAULT of 9.29 years to breaks and 9.71 years to expiries.

The Lewis Building was refurbished in 2017 to upgrade its office accommodation, spanning 112,000 sq ft across ground and seven upper floors, alongside two levels of basement parking. It is currently let to four tenants with a WAULT of 6.49 years to lease expiries and no breaks. Around 30,000 sq ft of office space is vacant.

Hobart and PineBridge team up again

PineBridge and Hobart are working together on another major office scheme, a 250,000 sq ft development on Mark Lane in the City. The scheme, to be called The Mark, was designed by Danish architects 3XN in collaboration with Hobart.

Hobart, an asset and investment management business that also co-invests, is run by co-founder Sas Bhadra. It focuses on office developments as well as repositionings in London and the regions. Hobert also has investment strategies for retail parks, having acquired two this year so far, and regional hotels.

In March, PineBridge held a final close for its latest European real estate vehicle, drawing in €500m of equity. The €4bn fund manager has secured the commitments for its Benson Elliot Real Estate Partners VI vehicle. Combined with gearing in the region of 60%, this will provide around €1.25bn of firepower to put into the market.

Avison Young is representing PineBridge and Hobart. All parties declined to comment.