PIMCO and Legal General Face Legal Battle Over Brussels Skyscraper Valuation Dispute
PIMCO and Legal & General Group Plc are embroiled in a legal dispute concerning the valuation of The Finance Tower, a prominent skyscraper in Brussels. The building's owner, JR Global REIT, has filed a lawsuit in the English High Court to prevent lenders from freezing rental income. The conflict arises from allegations that the lenders, including PIMCO and Legal & General, exerted undue pressure on property valuers to lower the building's valuation, potentially triggering a loan condition that would require cash retention to pay down debt. The Finance Tower, acquired by JR Global REIT in 2020, was financed with approximately €724 million in debt, with significant contributions from PIMCO and other financial entities. The valuation dispute has led to resignations and reappraisals, with the building's value being contested between €920 million and €1.2 billion. 
