German investment manager Hannover Leasing has bought a 19-storey Crown Plaza office building in the City of London for about £139 mln (EUR 158 mln). The property is earmarked for a closed-end real estate fund to be launched by Hannover Leasing in Q3 2011.

Crown Plaza was sold by Greycoat Central London Office Development Fund.

Completed in 2009, Crown Plaza has a 'very good' rating under the BREEAM green buildings standard. The property offers 18,400 m2 of net office space, which is fully leased. International law and consultancy firm Pinsent Masons took a 20-year lease on 85% of the scheme. Crown Place Financial has a five-year lease on the remaining space, which Pinsent Masons will take over at the end of the lease for a 15-year to end-2030.

Hannover Leasing was advised by Franc Warwick. CB Richard Ellis acted for Greycoat Central London Office Development Fund.

A member of the Landesbank Hessen-Thüringen Girozentrale group, Hannover Leaseing is one of the largest initiators of closed-end funds. The acquisition value of the assets managed by Hannover Leasing comes to almost EUR 16 bn.