Neon Underwriting (previously Marketform) is a vibrant insurer operating in the specialist Lloyd’s market and is a member of Great American Insurance Group (GAIG), the insurance operations of American Financial Group, Inc. (NYSE:AFG). AFG has approximately US$60 billion in assets.

Brief

Neon occupied an historic Grade II listed 20,000 sq ft self-contained building on the fringe of the City’s insurance district. An impending lease expiry provided the option for Neon to either remain in occupation of its existing premises under new and improved terms (the ‘stay-option’) or alternatively the business could seize the opportunity to relocate (the ‘go-option’) to more efficient premises on a single floor and in a more modern building closer to Lloyd’s of London.

Following a thorough investigation of available properties, a preferred building (and back-up option) was selected for detailed financial review and benchmarking. Comprehensive building and M&E surveys were commissioned as part of the pre-acquisition due diligence undertaken by MWRE and associated project team members. This ensured that the building owners were required to carry out various remedial works to the property prior to lease grant.

Result

MWRE successfully negotiated for Neon to take a new 10 year lease (maximising the level of incentive package available to the tenant) on a single floor of 29,500 sq ft at 20 Gracechurch Street, EC3.