The media company behind brands such as Absolute Radio and FHM magazine has bought its Soho HQ to avoid soaring West End rents.
Bauer Media is understood to have exchanged contracts to buy 1 Golden Square, W1, for about £18.5m from DTZ Investment Management.
It 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.
Colliers International is advising Bauer Media.
joanna.bourke@estatesgazette.com
