Aberdeen Standard Investments (ASI) acting for Courts Nominees, and represented by Compton, has sold the freehold interest of 48-50 St John Street, Farringdon, London EC1 to PATRIZIA AG, who has purchased the investment on behalf of a German institutional client, for £17,000,000 (£870 per sq ft).
The office building totals 19,543 sq ft (1,815 sq m) and is multi-let to four tenants, producing an annual income of £889,810 (£45.53per sq ft. The transaction reflects a Net Initial Yield of 4.90% (assuming purchaser costs of 6.74%). The property was sold on a best bid tender following a full open marketing process.
Michael Raibin of Compton said: “The sale of this high-profile investment confirms the demand for properties in this vibrant City Fringe market.”
Lynn MacFarlane of ASI added: “This is a fantastic result for the fund and the sale price achieved is testament to the success of our active management strategy with this building, which the fund has owned since 1998.”
Knight Frank represented PATRIZIA AG in the acquisition.