Kennedy Wilson has begun divesting the Scottish assets it acquired through the purchase of distressed and non-performing loan portfolios following the downturn.
It has put up for sale Argyle House on Lady Lawson Street in Edinburgh through CBRE for £44.7m – a 5% yield.
The 220,402 sq ft office is let to the secretary of state for communities and local government until 2033, generating £2.4m pa.
The site generates long-term income but also has redevelopment potential for a variety of uses including residential, hotel and student accommodation.
It was bought by Kennedy Wilson in 2014 from Moises and Mendi Gertner as part of the Fordgate portfolio.
This week Kennedy Wilson also sold 2 West Regent Street in Glasgow for £31.5m to Warburg HIH Invest Real Estate. The price paid for the 76,800 sq ft building reflects a 5.84% yield.
The building was previously owned by CSE (West Regent Street), a company controlled by City Site Estates, before it went into administration in 2012.
Montagu Evans advised TH Real Estate; CBRE acted for Kennedy Wilson.
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