The view from Canary Wharf is brighter than it was in January. But the east London financial and leisure district still has a big problem. Its GBP4 billion ($6.84 billion) of debt is painfully high, and the pressures on parents Brookfield and Qatar Investment Authority to inject more cash have barely eased.
Last year brought some bad headlines for the estate, notably confirmation that HSBC planned to vacate its tower and move to central London. Sentiment around the European office market in general and Canary Wharf in particular has since improved. Brookfield and Qatar injected GBP300 million into the campus last October and offered a credit facility. That show of commitment is doubtless one reason why bonds issued by parent Canary Wharf Group Investment have rallied.
