03:32 PM EDT, 03/27/2024 (MT Newswires) -- Deutsche Bank ( DB ) has assumed receivership of 51 Eastcheap after a fund tied to WeWork lost the London-based property due to banking covenant breach and a collapsed sale deal, Bloomberg reported Wednesday, citing people familiar with the situation.

The office building was owned by WeWork Capital Advisors, which had repeatedly attempted to sell the property over the past two years, the people told Bloomberg.

Brokers tried to sell the property leased to WeWork for 125 million British pounds ($158 million) in 2022, then for 70 million pounds last fall. The fund agreed to sell it for about 50 million pounds in initial terms, but talks collapsed, prompting Deutsche Bank ( DB ) to enforce its loan, Bloomberg said.

Spokespersons for Deutsche Bank ( DB ) and WeWork declined to comment and WeWork Capital Advisors did not immediately respond to Bloomberg.

None of the companies immediately responded to MT Newswires' request for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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