Brookfield attempts to restructure the loan on the London CityPoint Tower

(Bloomberg) – Brookfield Corp is looking for approval to restructure a loan insured against the London CityPoint tower after not selling or refinancing the building before a long deadline. The firm has asked mortgages to agree to a further extension of the loan until January 2028 from the current deadline of April 20, according to a notice Tuesday. It is also suggested that an additional loan with a margin of 15% be obtained, which will cover the costs of fees related to the restructuring and amendments to a change in the control clause, which allows the private equity firm to transfer the asset to another managed vehicle. The proposed restructuring, which will now be brought to a mortgagee mood, will buy Brookfield time to handle the upcoming rental recovery that weighed together with higher interest rates on the valuation of the property, even though Brookfield filled empty spaces in the 36-story office building. The company has appointed brokers to sell the tower last year, but the bid did not secure the outstanding debt of £ 459m ($ 593m) against the property, Bloomberg News reported in December, which asked Brookfield to obtain a temporary expansion. CityPoint became one of the symbols of the financial crisis when a fund run by a previous owner missed a payment on loans secured by the skyscraper. Brookfield then acquired the building for £ 561m in 2016 and has since invested in upgrading parts of space. The building is one of the last remaining assets held in the Brookfield Real Estate Partners I Fund, a 2012 vintage vehicle that has already returned to investors more than twice its capital. Under the proposed restructuring, the “definition of bail must be updated to transfer the senior obligations within Brookfield,” according to the notice. A spokesman for Brookfield declined to comment further. More stories like these are available on Bloomberg.com © 2025 Bloomberg MP Catch all the business news, corporate news, news events and latest news updates on Live Mint. Download the Mint News app to get daily market updates. Business NewscompaniesNewsbrookfield attempts to restructure loan on London CityPoint tower