Rosewood’s Chancery Hotel Project at Former US Embassy Lands £450m Green Loan
Main Photo: The new Chancery Rosewood – imagined
Date: June 2021
Location: The former US Embassy, in London’s Grosvenor Square, Mayfair, England, UK
Name: The Chancery Rosewood – opening 2024
No. of Keys: 139
Seller: The American government! The Grade II listed building, served as the US embassy from 1960 until its move to Nine Elms, south of the River Thames in 2018.
Buyer: The Qatari Diar, the real estate division of Qatar’s sovereign wealth fund, today said it had agreed a £450m Green Loan with a string of lenders including HSBC and Credit Suisse, Intesa Sanpaolo, Qatar National Bank and United Overseas Bank for the development of the Chancery Rosewood five-star hotel project in London’s Grosvenor Square.
The £450m cash injection has qualified as a green loan, meaning it is contingent on the project meeting environmental criteria. Qatari Diar said the new hotel would boast extensive green roofs, minimise water consumption and implement energy efficiency measures.
“Securing the loan financing for The Chancery Rosewood, and having it classified as a green loan, is an important milestone for the project and one we are extremely proud of,” said Tariq Al Abdulla, chief development and project delivery officer at Qatari Diar.
“Through the strength of the scheme and despite the challenges of the current climate, we have been successful in receiving the financing that will be instrumental in the transformation of Grosvenor Square.”
The Chancery Rosewood forms a key part of plans to revamp Grosvenor Square and attract more visitors to the iconic Mayfair location. The Grade II listed building, which served as the US embassy from 1960 until its move to Nine Elms in 2018, is being redesigned by British architect Sir David Chipperfield.
The luxury hotel, set to open in 2024, will boast a range of dining and entertainment spaces, spa and wellness facilities and a grand ballroom. The site will also include retail spaces at ground level.
Rothschild acted as financial advisor and DLA Piper acted as legal counsel for Qatari Diar, while HSBC acted as green loan coordinator.
THPT Comment: Interesting opportunity for funding at this time…we shall explore more about this Green Loan concept.
First Seen: City AM
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