Global fund manager Stenham has purchased 94,000 square feet of office space at 52 Grosvenor Gardens in the Victoria area of London.
The building cost Stenham £25 million, less than half of what it was apparently worth before the crash in commercial property prices.
At the end of 2007 the property was on the market for £57 million. The fund manager has roughly £2 billion of assets under management, a third of which are in the UK.
Stenham’s latest acquisition reflects a capital value of about £267 per square foot. The fund manager is dropping prices from £40 per square foot to £30 to attract tenants in harder times.
Managing director of Stenham Property Paul Arenson commented, ‘As a consequence of the turmoil in the financial sector and downturn in the wider economy, we believe value is beginning to return to the UK commercial property sector.’