We acquired this property with vacant possession as part of a portfolio with funds managed by Tristan Capital Partners and fully refurbished it to a high standard including installing a new lift, air conditioning, ceilings and lighting, WC’s and redecorating throughout.
We negotiated a new 150-year lease from the Worshipful Company of Tallow Chandlers at 10% of the net income, subject to a minimum of 5% of the open market rental value of the premises.
The building was let to four office tenants and a dental practice, with a weighted unexpired term of 9.9 years to lease expiries and 6.8 years to lease breaks, at an office rent of around £70 per sq. ft.
It was sold for £16,850,000, a net initial yield of sub 5.00%.
