Mole Valley District Council has acquired the freehold to an AXA-let office building in Redhill, Surrey, for £22.27m from LaSalle Investment Management.
The Quadrangle building is let to AXA Assistance, which delivers, manages and underwrites personal, vehicle, property and legal assistance. It generates rental income of £1.23m per year.
Councillor and cabinet member for assets and investments, Simon Edge, said: “By 2020, further reductions in government funding may mean that MVDC needs to become entirely self-funding.
“Investing carefully in commercial property is a key strategy to generate income to support our services. Owning and operating commercial property is not new to MVDC and we have a sound asset investment strategy that governs the quality of assets in which we invest.”
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