The question of who is the actual owner of Dolphin Square has been raised by existing tenants who are concerned about what might happen to the property if planning permission is granted.

According to Land Registry records, the owner of the property since 2016 has been a Jersey-registered off-the-shelf company, The Dolphin Square Estate Limited. The company is stated to have paid £850 million for the property.  The ownership of the company is confidential under Jersey law.

Originally, the USA-based property fund manager, Westbrook, negotiated in 2005 the purchase of a head-lease and under-lease expiring in 2034 from Westminster city council. The purchase consideration was £180 million. The ownership of  both leases were registered in the names of two new Jersey companies.

Westbrook was incorporated in 1996 as a non-resident Texas company whose principals were Paul Kazilionis, Kashif Zahid Sheik and Ernesto Diego Rico, all residents of New York. The company claims to have raised billions of dollars from leading USA financial institutions for international property investment.

According to public information, Westbrook has established 10 different property investment funds during its existence numbered from 1 to 10. Unlike many other property funds, Westbrook does not disclose the source of its funds nor their investment portfolios.

When the Dolphin Square leases were purchased, Westbrook had commenced its fifth fund and it may be assumed that the Dolphin Square leases were acquired by that fund or an earlier fund. 

In 2016, Westbrook were successful in their legal claim for leasehold enfranchisement against the Dolphin Square freeholder, the Friends Life insurance group and acquired the freehold for a consideration of £190 million. 

At the time, Westbrook had commenced its Fund 10 but it is not known whether that fund was involved in the freehold purchase. It is clear from public information that the cost of the leases and the freehold to the funds at that time was around £400 million.

What is clear is that the leases and the freehold were transferred to the new company, The Dolphin Square Estate Limited, for a consideration of £850 million giving a tax-free profit of at least £400 million. At the same time, The Dolphin Square Estate Limited obtained a mortgage of £514 million on the property from the M&G Group and the MetLife Insurance company of New York.

Since the purchase of the freehold in 2016, central London property values have fallen substantially. It would appear that The Dolphin Square Estate Limited has no other assets and it is clear that it has the liability of a £514 million mortgage.

The very real concern of existing tenants of Dolphin Square is what might happen if the company went into liquidation or administration, possibility after the demolition of Rodney House, and what might be the enforcement position as far as any vital Section 106 undertakings in regard to the fulfilment of development conditions.

The ownership of The Dolphin Square Estate Limited is a matter of genuine public concern. It has been speculated that  Chinese investors acquired the company since there has been a large increase in mainland Chinese tenants in Dolphin Square over recent years, including many students who are studying art at the nearby academy established in the former Millbank military hospital. 

Any planning consent to The Dolphin Square Estate Limited will not involve Westbrook in any financial guarantees concerning the development since they are only the manager on a fee and profit-sharing basis.

PLEASE CONTINUE TO CIRCULATE OUR PETITION TO YOUR FRIENDS AND ASSOCIATES ON SOCIAL MEDIA LIKE FACEBOOK, INSTAGRAM AND WHATSAPP.

ALSO PLEASE TAKE THE TIME TO GO TO THE WESTMINSTER PLANNING PORTAL TO REGISTER YOUR OPPOSITION TO THESE PLANS.

THE ADDRESS IS:

https://tinyurl.com/savedolphinsquare

The reference is:  18/01099/FULL

THANK YOU!