UBS must pay millions in real estate costs in connection with the takeover of Credit Suisse, including for the termination of leases for offices which the former competitor used.
Swiss banking giant UBS has taken over leases with Credit Suisse for the years 2022 and 2023 amounting to $200 million, according to a report in the «Financial Times». The British business newspaper makes reference to a report submitted on Friday to the U.S. Securities and Exchange Commission.
According to an individual familiar with the matter, the costs are not merely in connection with the early termination of contracts, but also with the renovation of offices.
Move away from Canary Wharf
In September, UBS announced to employees in the London Credit Suisse offices at 1 Cabot Square that the employees would be moving to the UBS main office near Liverpool Street and that all relocations would be complete by the end of 2024.
In order to make room for the Credit Suisse employees at 5 Broadgate, UBS has terminated a sublease agreement with Grant Thornton, the accountancy firm currently occupying two floors of the building, as finews.ch also reported.
Credit Suisse was one of the first big tenants in Canary Wharf. In October, they removed the large Credit Suisse logo from the top of the building at 1 Cabot Square.
