INDUSTRY NEWS

The Great Ropemaker Partnership invests £30m in London office block

The Great Ropemaker Partnership has invested £30m on a major London office block.

The partnership, a joint venture between Great Portland Estates and The BP Pension Fund, has agreed to acquire 148 Old Street in east London from The BP Pension Fund.

The 97,807 sq ft London office building is based over a lower ground, ground and then six upper floors and is currently let to Royal Mail until 2020.

Great Portland Estate chief executive, Toby Courtauld, said: “We are delighted to have acquired 148 Old Street at an attractive initial yield of almost 7% and off a low entry cost of £307 per sq  ft, or only £200 per sq ft based on the gross internal area.

“This is a well-located site providing opportunities to create significant value over the medium to longer term in this rapidly changing part of central London.

“We have now invested more than 80% of the equity capital raised from shareholders only four months ago.  With a number of interesting opportunities under review, I remain confident that the balance will be invested well within our original timing guidance of 12 to 18 months.”

Great Portland Estate is a central London based property and investment company with a portfolio of more than £2.2bn in value. It currently has 21 projects in the pipeline, with more than 2.3 million sq ft of space set to be developed.

Following the firm’s purchase of  Orchard Court in the West End last month and Minerva House in December 2012, the firm has now spent over 80%  of the money received from its £140.6m share listing in November 2012.

News bought to you from DeVono Cresa, the award-winning commercial property advisers, specialising in Central London office, retail and leisure space.

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