Standard Life has sold a freehold Mayfair office block with a capital value of more than £3,100 per sq ft to Charles Street Buildings Group for £39.25m – a 3.25% yield.
The price represents one of the highest capital values in the West End for an office building.
Standard Life appointed Savills in September to market 13-14 Curzon Street, W1, for offers in excess of £35m.
The generates £1.4m pa of rent, 93% of which is secured against the sole office tenant, London Executive Offices, until 2029. The lease includes five-yearly, upward-only rent reviews, with the next due in October 2019, and a tenant break option in October 2024.
The ground floor retail unit is occupied by café Benugo, which pays rent of £85,000 pa.
Leicester-based Charles Street Buildings Group, which is headed by the Murphy family, has assets of more than £600m.
The group, which deals mostly in development, sales and lettings, is now chaired by Hugh P Murphy and comprises Charles Street Buildings and 14 subsidiary companies, which together own more than 6m sq ft of property.
Chapman Petrie advised the purchaser.
Both Savills and Chapman Petrie declined to comment on the sale.
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