M&G Real Estate has instructed Knight Frank to sell 50 Bothwell Street in Glasgow for £27m – a 7.25% yield.
The eight-storey, 89,805 sq ft building, constructed behind a retained period façade, is let to Ignis Investment Services.
The company is exercising a break in its lease in December 2017, at which time a purchaser could undertake a refurbishment.
Ground-floor retail tenants include Marks & Spencer, Costa and Superdrug. The building generates an income of £2m pa.
M&G bought the building from Redevco in 2010 for £29m.
The fund manager will still own a sizeable portfolio in the city should a sale complete. It also owns the Aurora building at 120 Bothwell Street, which it bought from CS Euroreal for £72.6m last year, as well as 1 West Regent Street, which it now wholly owns following the acquisition of a 50% stake from developer Clearbell last month.
• To send feedback, e-mail Shekha.Vyas@estatesgazette.com or tweet @shekhaV or @estatesgazette
