Cazenove was a British stockbroker and investment bank, founded in 1823 by Philip Cazenove. It was one of the UK’s last independent investment banks and one of the last to remain a private partnership. The main parts of the business were acquired by JPMorgan Chase in 2009 with the remains being sold to other financial institutions. The Partnership was well known for its ‘blue-blooded’ reputation and its complete aversion to publicity. It was one of the most successful brokers and corporate advisers in London, being described by the Financial Times as ‘dominant’ and as having an ‘aura’.
Cazenove leased 100,000 sq ft close to the Bank of England in nine inter-connecting buildings that had over the years been adapted to accommodate the ongoing needs of the business. To meet its growth expectations over the next decade, Cazenove sought to consolidate its operations into a single new building of circa 155,000 sq ft to maximise the efficiency of the working environment for its clients and staff.
In order that the Partnership might formulate a clear relocation strategy and take objective decisions on timetabling and implementation, McCalmont-Woods advised on the:
- timetable in which the business needed to decide whether to ‘stay or go’
- current and projected status of The City and Canary Wharf office markets with an assessment of how the supply and demand pipeline might affect rental value in each
- cost benefit analysis of the Partnership continuing to invest in the infrastructure of its existing buildings
- likely cost of terminal dilapidations and reinstatement to be borne by the Partnership on relocation
Once the decision was taken to relocate McCalmont-Woods then managed:
- the formulation of a detailed occupational brief
- research into size, deliverability and timing of properties available for pre-letting
- arranging site inspections and presentations with potential developers and landlords
- generation of DCFs to illustrate total occupational costs over the projected lease term
- review of relevant investment considerations and impact on profit sharing arrangements
- the drafting and negotiation of heads of terms
By agreeing to accept a certain level of risk and cost and electing to relocate in what was then a relatively depressed City office market, Cazenove was able to acquire a new purpose-built headquarters building at 20 Moorgate, EC2 with a bespoke specification in a prime City location on extremely competitive rental and lease terms.
Nick McCalmont-Woods advised Cazenove on its occupational property requirements for almost 30 years to include advising on all office acquisitions, disposals, rent reviews and the restructuring of various office leases in the City of London and London Docklands. The acquisition of Cazenove’s new headquarters building at 20 Moorgate is believed to be the first genuine prelet to be agreed ‘off-plan’ in the City of London.