US firm Katten Muchin Rosenman has hired Mayer Brown City real estate head Peter Sugden as its new London managing partner.

The firm said the appointment had come as part of its expansion plans in its core areas of real estate and financial services.

Sugden is taking on the role one year after Katten saw its former London head, funds partner Martin Cornish, depart for K&L Gates in early 2011. Finance partner Edward Black has headed up the office in the interim period.

The Chicago-based firm launched in London in 2005 through a tie-up with UK hedge fund boutique MW Cornish Solicitors, a five-lawyer firm at which Cornish was principal.

At Katten, Sugden will also continue to handle transactional real estate work. His practice focuses on hotels and leisure, real estate investment and development, including joint venture and other structured real estate transactions.

He has been a partner at Mayer Brown since 2002, when he joined the US firm's City base in a lateral move from Manches amid a period of property departures from the firm.

Katten US co-head of financial services Arthur Hahn, who has been involved with overseeing developments in the London office, told Legal Week: "We are very excited about this hire. Katten's London office is focused around the core practice areas of real estate and financial services that we practice in the US and we have been looking for someone recognised in one of those two areas to lead our London effort.

"We are very pleased to have found Peter, whose practice mirrors the work we do in the US. He is the perfect fit and we look to his management skills to develop the office."

Mayer Brown London senior partner Sean Connolly said that the firm's London real estate practice would remain in a strong position, adding: "Peter has decided on a change of direction, to manage Katten's London office. This does not affect our planning to grow the London real estate group which is consistent with our growth plans for the firm's global real estate group."

Mayer Brown said that it is actively hiring in the real estate space but that its London-based global head of real estate Jeremy Clay will oversee the practice in the interim period.

Sugden's move comes alongside the departure of Mayer Brown City debt capital markets head (DCM) Drew Salvest, who has resigned in to join Jones Day. Salvest said that the rival US firm would offer his practice a more substantial platform.

Jones Day made a series of finance partner hires in Europe last year, including taking on a three-partner US securities team from Ashurst in June.