Aviva puts Manchester office up for sale for £35m

Aviva Investors has instructed CBRE to find a new owner for 11 Portland Street in Manchester.  The investor is seeking offers over £35m for the 159,448 sq ft office building. If achieved, the transaction would reflect a net initial yield of 10%. In 2015, Aviva invested £17.7m in the building’s refurbishment, which was completed by Styles & Wood. The scheme was designed by BDP, WSP and Chapman BDSP. The eight-storey building is majority occupied by Bank of Scotland, part of Lloyds Banking Group, with the ground floor, measuring 6,869 sq ft, dedicated to retail space. Other major tenants include ARM and ETC Venture. Overall, the property generates total contracted passing income of £3.7m a year, reflecting a rent of £23.21 per sq ft on office space. There is just one vacant suite in the building, totalling 1,276 sq ft. Investment comparables in Manchester >> Image © CBRE