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US billionaire Larry Ellison splashes £162 million on London office

Oracle co-founder buying one of Chinese Estates' last London assets
11-12 St James's Square. (CoStar)
11-12 St James's Square. (CoStar)
CoStar News
December 20, 2024 | 10:04 AM

United States technology billionaire Larry Ellison has agreed to buy a prime London West End office for £162 million from Hong Kong listed investor Chinese Estates.

In a stock market filing on the Hong Kong exchange, Chinese Estates said the buyer of 11-12 St James's Square was ultimately wholly owned by a trust named The Lawrence J Ellison Revocable Trust set up in California. Lawrence J Ellison is the sole beneficiary, trustor and a co-trustee of the trust, with Paul T Marinelli the other co-trustee.

Larry Ellison is the co-founder of technology group Oracle and as of mid-November he was the third-wealthiest person in the world, according to Bloomberg Billionaires Index, with an estimated net worth of $208 billion.

The building is almost entirely vacant and it is understood Ellison is buying it for occupation by one of his businesses.

The mixed-use building comprises mainly a grade A office building with a total net internal area of 82,024 square feet arranged over lower ground, ground and six upper floors, and covers 11 and 12 St James’s Square and 14-17 Ormond Yard.

Chinese Estates instructed Colliers to sell the building for around £200 million in September as it continues to pay down debt and raise cash reserves for other investors by exiting its UK assets.

Its only remaining asset it has not sold, or is selling, is the Zara flagship store at 61 Oxford Street.

Chinese Estates paid Malaysia’s Employees Provident Fund £175 million for 11-12 St James’s Square in 2017.

The transaction will be a lift for the London office market, which has seen few £100 million-plus deals in 2024. According to exclusive figures from JLL, investment volumes across central London will likely total £6.4 billion for 2024, slightly below the £6.5 billion that traded in 2023.

Newmark is advising the buyer. Colliers is advising the vendor.

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