Exchange Place 1, part of a trio of grade-A city centre offices in Edinburgh’s financial hub, has been bought by GLL Real Estate Partners’ Pan European Property Fund for £47m – a 5.57% yield.
The sale price agreed makes it the largest investment transaction in Scotland so far this year.
The sale, together with the sale of Exchange Place 2 and 3 earlier this year, brings the combined total for the flagship city centre office campus to £83m.
It was put up for sale by Aberdeen Asset Management early last year. JLL and Cushman & Wakefield acted jointly on the lettings and the sale of Exchange Place 1. The building is fully let to tenants including BlackRock, Hymans Robertson, Cameron Hume, Cundall Johnston and Evans Cycles.
Completed in 2009, Exchange Place comprises three separate grade-A multi-let office buildings, totalling close to 215,000 sq ft in the heart of the Exchange District, Edinburgh’s financial and commercial hub.
According to data from JLL, international investment, as a proportion of total investment in Edinburgh’s office market, increased to more than 90% during 2016.
Nick Ireland, co-head, UK direct property at Aberdeen Asset Management, said: “The sale of Exchange Place 1 has brought this successful long-term project to a close for us. We were delighted with the quality of the tenants we secured and the level of investor interest clearly demonstrates the strength of demand for high-quality assets in a strong city such as Edinburgh.”
GVA James Barr acted for GLL.
To send feedback, e-mail amber.rolt@egi.co.uk or tweet @AmberRoltEG or @estatesgazette
