Development Securities (DevSec) has bought a Slough office block for £7m, unlocking major regeneration plans for the Berkshire town.
Compair House, a 24,219 sq ft office building, adjoins the commercial element of the Heart of Slough scheme, DevSec’s joint venture with Slough council, English Partnerships and Berkeley Homes.
DevSec said the acquisition would enable the relocation of the existing town centre bus station so that the site can be redeveloped as 300,000 sq ft of offices.
DevSec is working with its joint venture partners to submit an outline masterplan later this year.
It was selected in 2001 alongside Berkeley to develop around 500,000 sq ft of offices, 400,000 sq ft of housing and 100,000 sq ft of retail and leisure.
DevSec said the acquisition, aligned with improved occupier sentiment in the Thames Valley, meant it expected to be on site in 2008.
Julian Barwick, joint managing director, Development Securities, said: “We have seen a significant improvement in the vacancy rate of the Slough office market and believe this rate will improve further over the next 18 months.
DevSec and its partners intend to submit its outline masterplan soon and hopes to start development in 2008, with completion due for 2010.
Knight Frank advised DevSec on the acquisition.
References: EGi News 20/09/06
