Lone Star Funds Announces Agreement to Acquire Prime Central London Office Asset
Lone Star Funds (“Lone Star”) has announced that an affiliate of Lone Star Real Estate Fund VII, L.P., has agreed to acquire 90 Whitfield Street in London, United Kingdom, from Derwent London. The transaction underscores Lone Star’s continued commitment to investing in high-quality real estate assets across key global gateway cities, with a particular focus on prime office properties that offer strong long-term fundamentals and value-creation potential.
The acquisition reflects Lone Star’s confidence in the resilience and long-term attractiveness of central London’s office market. By targeting well-located buildings with strong architectural characteristics and repositioning opportunities, the firm aims to unlock embedded value through proactive asset management and strategic capital investment.
Overview of 90 Whitfield Street
The property at 90 Whitfield Street is situated in Fitzrovia, one of central London’s most dynamic and desirable office sub-markets within the West End. Fitzrovia is known for its blend of historic character and contemporary commercial development, attracting a diverse mix of occupiers spanning technology, media, professional services, and creative industries.
The building comprises approximately 107,000 square feet of total space. Of this, around 99,000 square feet is dedicated to fully developed office accommodation designed to meet the demands of modern occupiers. The remaining 8,000 square feet consists of ground-floor retail space, enhancing the vibrancy of the building and contributing to its income diversification. This retail component not only activates the street frontage but also strengthens the property’s integration into the surrounding urban environment.
The scale of the asset positions it well within the competitive West End market, offering sufficient size to appeal to a broad range of tenants while maintaining the flexibility required in today’s evolving workplace landscape.
Architectural Design and Modern Features
One of the standout characteristics of 90 Whitfield Street is its highly desirable architectural styling. The building features extensive floor-to-ceiling glazing, allowing for abundant natural light throughout the office floors. This design element not only enhances the aesthetic appeal of the interior spaces but also supports employee well-being and productivity, which have become increasingly important considerations for occupiers.
Generous ceiling heights further contribute to a sense of openness and quality. The flexible floor plates provide adaptability, enabling tenants to configure layouts that suit a variety of working styles, from open-plan collaborative environments to more traditional office arrangements. This flexibility is particularly valuable in a market where hybrid working models and evolving space requirements continue to influence leasing decisions.
The reception area has recently undergone refurbishment, creating a contemporary and welcoming entrance for tenants and visitors alike. A large central atrium forms a striking focal point within the building, enhancing the sense of space and facilitating natural light penetration deep into the floor plates. Such architectural features help differentiate the asset in a competitive leasing environment.
At the top of the building, a privately accessed rooftop terrace of approximately 900 square feet provides an exclusive amenity for occupiers. Rooftop spaces are increasingly sought after in central urban locations, offering outdoor breakout areas for informal meetings, staff gatherings, or quiet reflection. This feature enhances the overall amenity offering and contributes to the property’s premium positioning.
Strategic Corner Location and Connectivity
The asset benefits from a prominent corner position fronting Tottenham Court Road, one of London’s principal thoroughfares. This location offers both strong visibility and convenient access, reinforcing the building’s appeal to a wide range of occupiers seeking a central and well-connected address.
Tottenham Court Road has undergone a significant transformation in recent years, benefiting from infrastructure improvements and broader regeneration initiatives. As a result, the surrounding area has experienced increased footfall, improved public realm, and enhanced transport connectivity.
The building is within walking distance of six separate London Underground stations, providing access to multiple lines that connect directly to the wider metropolitan area. This exceptional connectivity is a critical factor for businesses seeking to attract and retain talent, as well as to maintain seamless access for clients and partners across the city and beyond.
The combination of centrality, transport accessibility, and proximity to a wide range of amenities—including restaurants, cafés, retail outlets, and cultural institutions—supports the building’s long-term attractiveness and leasing potential.
Conviction in the Central London Office Market
Jérôme Foulon, Global Head of Commercial Real Estate at Lone Star, emphasized the firm’s strong conviction in the central London office market. While global office markets continue to adapt to shifting workplace dynamics, central London—particularly the West End—remains one of the most sought-after office locations in Europe.
Foulon noted that, with the right asset management strategy, a well-positioned West End property such as 90 Whitfield Street offers meaningful embedded upside. Lone Star’s investment philosophy centers on identifying high-quality assets where active management, targeted capital improvements, and strategic repositioning can unlock additional value over time.
This approach includes optimizing leasing strategies, enhancing building specifications, and aligning the property with evolving tenant expectations. By leveraging its experience in complex and value-oriented investments, Lone Star aims to capitalize on the property’s strong underlying fundamentals.
Value-Enhancement and Sustainability Initiatives
Jeremie Goldsztain, Senior Managing Director and Head of Europe Real Estate at Lone Star, highlighted the asset’s high quality and strong fundamentals, driven by its Fitzrovia location and comprehensive amenity offering. However, he also pointed to opportunities for further enhancement.
Lone Star believes there is significant potential to strengthen the rental tone and increase the asset’s institutional desirability by deploying additional capital into refurbishment and sustainability upgrades. In today’s market, environmental performance and ESG considerations play an increasingly central role in occupier and investor decision-making.
Upgrading building systems to improve energy efficiency, reduce carbon emissions, and enhance environmental certifications can materially improve both tenant appeal and long-term asset value. Refurbishment initiatives may also focus on common areas, end-of-journey facilities, and technological infrastructure, ensuring the building meets the expectations of modern occupiers.
By aligning the property with contemporary sustainability standards and enhancing its operational performance, Lone Star aims to future-proof the asset and position it competitively within the prime West End office market.
A Strategic Addition to Lone Star’s European Portfolio
The acquisition of 90 Whitfield Street represents a strategic addition to Lone Star’s European real estate portfolio. By targeting a well-located, high-quality office building with clear opportunities for enhancement, the firm continues to execute on its disciplined investment strategy focused on value creation.
As central London continues to attract global businesses and institutional capital, assets such as 90 Whitfield Street—combining prime location, architectural quality, and repositioning potential—are well placed to deliver long-term performance. Through active management and targeted investment, Lone Star aims to unlock the full potential of this landmark Fitzrovia property.
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