Blackstone is preparing to sell its 360,000 sq ft office building at 25 North Colonnade in Canary Wharf for more than £250 million, marking a significant turnaround for London's east financial district. The private equity giant has hired brokers CBRE and Cushman & Wakefield to gauge market interest, signaling renewed confidence after years of stagnation.

Blackstone's decision to test the market comes as Canary Wharf experiences a resurgence, with valuations rising and major tenants like Deutsche Bank and Visa signing new leases. The building, known as Cargo, houses tenants including BP, Boston Consulting Group, and ANZ, and benefits from proximity to the Elizabeth Line, a crucial selling point for post-pandemic office demand. This represents a stark contrast to recent years when large office blocks in the area proved nearly impossible to sell.

Blackstone previously attempted to sell Cargo but withdrew it from the market after failing to secure an acceptable price. The firm acquired the property in 2014 for approximately £165 million. The potential sale would be the latest indicator that London's commercial real estate market is recovering from years of uncertainty caused by rising interest rates and questions about post-pandemic office demand.