Hammerson sells London office space for £136m


Hammerson has said it is to sell its interest in office venture One London Wall along with its joint partner Kajima.

The firm announced its intention as it released details of its annual profits, saying it would sell its long leasehold interest in the 18,500 square metre business property in the heart of London.

It is anticipating a price of £136 million, before allowance for rent-free periods and costs amounting to around £2 million, and will offload its share to a company set up for the purchase, One London Wall Ltd.

Owned by German insurer Hansainvest, the new owner will take over a building which boasts rental income of £7.7 million per year.

John Richards, chief executive of Hammerson, said the transaction reflected the "continuing demand from both investors and occupiers" for high quality property and offices in London.

Mr Richards added that Hammerson and its joint venture partners GE Capital and Bank of Ireland had secured its first lease for office space on 125 Old Broad Street, saying it was an ideal location for blue-chip occupiers.