In the UK, personal debt exceeds the nation's entire GDP, so little wonder that large numbers of bankruptcies are expected this year and next.
Lehman Brothers aside, the entire nation is being careful with its outgoings, including the state-owned Insolvency Service, which administers the affairs of bankrupts. In a bid to keep a lid on costs, the agency has been looking to consolidate its office space in Manchester by moving to a new – and greener – headquarters.
Step forward Washington DC-based private equity firm, The Carlyle Group. Carlyle, which has some exposure to the UK property market with a number of part-let projects, has just leased one floor of its 3 Piccadilly Place property to the Insolvency Service.
It just goes to show that if there are no private sector tenants out there willing to sign leases right now, you can always depend on the public sector and its “customers.”