The grandson of legendary property investor “Black Jack” Dellal has flipped on the London headquarters of retailer BHS for nearly 25% more than he paid for it two months ago.
Alexander Dellal’s Allied Commercial Exporters has agreed to sell the freehold interest in North West House at 119-127 Marylebone Road, NW1, to WELPUT for £38.3m.
Allied purchased the building for £31m in March from Arcadia Group owner Sir Philip Green, who offloaded the block on the eve of the announcement of the sale of the 185-store BHS chain to Retail Acquisitions.
Once BHS vacates the building in two years’ time, WELPUT is expected to demolish and redevelop the block.
In 2014, WELPUT, which is managed by Schroders, took a decision to invest beyond its traditional central West End heartland, reflecting the increasingly footloose behaviour of tenants.
More recently it has secured new equity and debt facilities totalling £362m which it has been investing in redevelopment opportunities.
The 46,499 sq ft North West House has been the headquarters of BHS since opening in May 2007 after an extensive refurbishment project.
Green purchased the block from Prudential in 2014.
Michael Elliott acted for WELPUT; Allied Commercial was unrepresented.
