Tudor Street,
London
Background
The property was formerly a dated 1970s office building occupied by Unilever, close to Blackfriars Station in the midtown district of London, popular with the legal profession and large professional services groups.
Strategy
Purchased for £9m with a deferred completion, the intention was to carry out a large redevelopment and replace the existing building with new office space of 70000sq ft after obtaining planning permission and all other necessary consents to maximise the footprint on the site.
Outcome
On receipt of planning, the development was undertaken over a 2 year period and was completed on time, on budget and with full development management provided by our team. During construction, to maximise returns, the freehold interest was sold to a City Livery Company at a premium yield for £7m. At completion the building was let on a floor by floor basis at average rents of £44 psf. The completed investment was then sold to Scottish Widows for £45m, for the long leasehold investment , an initial yield of 5.75%.
