Indiabulls Real Estate Ltd. is teaming up with Mandarin Oriental Hotel Group Ltd. for its third residential project in London, the Economic Times of India reported.
The development at 22-23 Hanover Square in London will mark the Hong Kong-based hospitality company's second property in the U.K. capital, Mandarin Oriental CEO James Riley told the publication.
Upon its 2021 completion, the project will feature 80 Mandarin Oriental-branded serviced luxury residence units and a 50-key fully integrated Mandarin Oriental hotel that is worth approximately £155 million, according to the paper.
Indiabulls won the project site in 2014 after placing a £155 million bid in an auction conducted by the Scottish Widows Investment Partnership, which according to the report is now part of Aberdeen Asset Management. Since then, the Indian developer secured the green light from Westminster City Council for the regeneration of the site.
According to the Dec. 18 report, Mandarin Oriental is expected to offer a certain minimum guaranteed level of earnings before interest, taxes, depreciation and amortization during the first 10 years of the 30-year agreement between the pair.