The media company behind brands such as Absolute Radio and FHM magazine has bought its Soho headquarters to avoid soaring West End rents.
Bauer Media, advised by Colliers International, is buying ?1 Golden Square, W1, for £18.5m from DTZ Investment Management.
The building is let to Absolute Radio until January 2021 at rent of £44.99 per sq ft, and has a rent review in 2016.
Knight Frank was appointed to sell the asset in June for £17m – a 3.5% net initial yield.
Grade A rents in Soho have reached £87.50 per sq ft and could hit £110 per sq ft by 2018, Colliers International has forecast.
joanna.bourke@estatesgazette.com
