Trinova Real Estate has acquired 103 Mount Street, W1, on behalf of Chile-headquartered property investor Stars REI from Meyer Bergman.
It is understood to have paid between £75m and £80m for the 32,000 sq ft office and retail property, reflecting a net initial yield of around 4%.
Tenants at the property, located close to the Connaught Hotel and Berkeley Square, include luxury fashion brand Celine, which occupies the entire retail space, Crossbow Capital Management, Rubicon Asset Management, Habrok Capital Management and VIY Management.
Meyer Bergman bought the property in 2015 from Kajima Properties for its second value-add closed-ended fund, Meyer Bergman Retail Partners II. It paid £81m, reflecting a yield of 3%, according to Radius Data Exchange.
It is the second London property Trinova has purchased with Stars REI in less than a year, having picked up 3 Kingsway, WC2, from Aviva Investors in September for £62m. Stars REI is a wholly owned subsidiary of Stars Investments, while Trinova was the local partner for Stars REI on the acquisition.
Edmund Costello, partner at Trinova Real Estate, said: “In these turbulent times, we are focused on acquiring assets with good bones, great floor plates and natural light, and with unquestioned location fundamentals. 103 Mount Street meets these requirements and more, and has been well managed by Meyer Bergman. We look forward to working hard to enhance the asset on behalf of our partner Stars REI”
Oscar Boettiger, chief executive of Stars REI, added: “We believe 103 Mount Street is a great addition to our real estate portfolio. At Stars REI, regardless of market cycles, we are keen to invest in assets that offer immediate optionality and benefit from strong locations and building quality, all of which are sustainable long-term fundamentals.”
Josip Kardun, chief investment officer at Meyer Bergman, said: “Using our deep asset management expertise, we refurbished 103 Mount Street to make the building more appealing to modern occupiers, while also driving occupancy through successful leasing activity.
“There is still strong demand from investors and occupiers for high-quality office and retail space in central, high-footfall locations, and we see good opportunities to reposition existing assets across core European cities as the urban landscapes continue to evolve.”
Michael Elliott acted for Trinova and Stars REI, while JLL advised Meyer Bergman.
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