Japan’s second-largest bank leases new HQ in London

Move comes despite Brexit decision

The City of London. Demand for office space still strong despite Brexit.

The City of London. Demand for office space still strong despite Brexit.

 

Sumitomo Mitsui Financial Group’’s European banking unit has agreed to lease a new European headquarters from British Land and GIC Pte at London’s Broadgate complex.

Japan’s second-largest bank by market value will rent 161,000 sq ft at 100 Liverpool Street, British Land said in a statement on Tuesday.

The company will occupy the first three floors of the building on a 20-year lease. SMBC is the latest bank to confound expectations that Britain’s decision to leave the European Union would dramatically dampen demand for London offices.

Wells Fargo and Deutsche Bank are among those that have secured new premises in the City of London financial district since the Brexit vote. Sumitomo’s decision is a “strong endorsement of London as a global city,” Tim Roberts, British Land’s head of offices, said in the statement. The bank is currently based in two City offices.

– Bloomberg