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AustralianSuper has agreed to take a 25 per cent stake in Kings Cross, in its first direct London investment and only its second in the UK.

Subject to the customary EU clearance, AustralianSuper will join the Kings Cross Central Ltd Partnership (KCCLP) investors which include Argent Kings Cross Limited Partnership, backed by Hermes Investment Management (Hermes) and Argent, as well as LCR (London & Continental Railways Limited) and DHL Supply Chain.

The 67-acre Kings Cross site, which includes some 8 million sq ft of offices, homes, hotels, leisure, shops and restaurants, a university, galleries, schools, community facilities and music venues, all set within world-class public realm and the stunning re-use of historic buildings, structures and spaces, will remain a single entity, managed under the current one estate approach. Argent will remain as developer and asset manager, focused on the design and delivery of the next phases of development.

Sir David Clementi, Chairman of Kings Cross Central Partnership, says: Having worked together for 14-years, the current partnerships long-term approach has had tangible benefits for the development of Kings Cross as a successful London neighbourhood. The introduction of AustralianSuper as a like-minded investor will cement this long-term ownership structure and ensure Kings Cross future as one of Londons great estates.

This is the second partnership between AustralianSuper and Hermes in the UK. The co-investors, who share a sustainable, long-term approach, initially partnered at Centre:mk in Milton Keynes following AustralianSupers purchase of 50 per cent of the major regional shopping centre from Hermes in December 2013. Hermes continues to asset manage the centre on behalf of the co-owners.

David Partridge, Managing Partner, Argent, says: This investment endorses the success of the Kings Cross development and asset management strategy, and demonstrates the sites value as it matures into an established part of the Capital.

Chris Taylor, CEO of Hermes Real Estate and Head of Private Markets, Hermes Investment Management, says: As a like-minded and sophisticated investor, AustralianSuper is an ideal partner at Kings Cross. Our partnership at Centre:mk has been hugely successful, and we look forward to building on this further at Kings Cross. AustralianSuper shares Hermes conviction for creating and sustaining a world class place for people to work, live and visit in Central London.

Jack McGougan, Head of Property at AustralianSuper, says: The King Cross development represents a significant opportunity to invest in a world class mixed-use estate. This will be our second major foray into the UK property market in partnership with Hermes Investment Management and underlines our commitment in pursuit of our strategy to acquire core assets in major international cities with trusted and experienced local partners.

The Kings Cross Central Limited Partnership (KCCLP) was represented by Rothschild and GM Real Estate. AustralianSuper was advised by its UK appointed mandate manager, TIAA Henderson Real Estate.