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Blackstone to acquire British flexible office provider in rumoured £500m deal

Global property investor Blackstone is set to announce it has purchased a controlling stake in The Office Group today (Monday).

Coming just as Brexit negotiations get underway, the rumoured deal will value the London-based flexible office provider, which provides space for corporates such as Santander and Facebook, at £500m according to Sky News.

According to reports, The Office Group’s management team will maintain a minority stake in the company while Chairman Lloyd Dorfman, who invested in the business in 2010, will be due a significant windfall once the deal is completed.

The deal marks something of a seal of approval for UK’s commercial property sector with the Brexit talks beginning in earnest today, despite fears that an exit from the EU’s single market will see big name employers and financial services firms set up shop elsewhere on the continent.

Blackstone’s half a billion pound outlay also highlights the continued boom in the UK’s flexible office space sector as political and economic bumps cause firms to favour short-term and more flexible leases to hedge against uncertainty.