Norges Bank Investment Management has spent £306 million ($373 million) to acquire a 25% stake in a mixed use portfolio of predominately office and retail assets based in the U.K., according to a news release.
The sale to NBIM was from property consortium Grosvenor Group, which will retain 75% ownership of the portfolio.
The properties in the portfolio are all based in Mayfair, an upscale neighborhood in London where the Grosvenor headquarters are based. The total value of the portfolio is estimated at £1.2 billion.
“We are very pleased to enter a new partnership with Grosvenor in Mayfair. We have confidence in the long-term value creation inherent in the West End and are excited to see that delivered through Grosvenor’s well-respected management”, said Jayesh Patel, head of U.K. real estate at NBIM, in the news release.
The portfolio is unencumbered by debt, and no financing was involved in the transaction. In total, the mixed use portfolio makes up 2.3 million square feet.
NBIM is the in-house manager of the 19.78 trillion Norwegian kroner ($1.72 trillion) Government Pension Fund Global, Oslo.
