An in-house fund of CBHP Investors has bought the 4,924 sq m (53,000 sq ft) Royal Exchange House (pictured) in Queen Street, Glasgow, from Haslemere Estates for £10.70m, on behalf of an unnamed institutional investor.
The mixed-use office and retail building occupies a prominent city centre corner location at the junction of Queen Street and Ingram Street, overlooking Royal Exchange Square. It comprises five shops at ground floor and six upper floors of open plan office accommodation.
The building is fully let to tenants including OBriens, TMP Worldwide, Abbey Life Assurance, Clydesdale Bank, National Consumer Council and Gerrard. Total rent is around £840,000 pa, with rent reviews outstanding.
Campbell Docherty, of CB Hillier Parker, said: “The investment characteristics fitted exactly with our in-house fund requirements in terms of yield and tenant profile and, with the property benefiting from well-specified office floorplates up to 8,000 sq ft and passing off rents in the region of £13 to £14 per sq ft, scope for future rental growth is anticipated.”
Richard Debney, at Haslemere Estates, said: “Having leased the vacant office space at strong rental levels, we took the opportunity to realise our investment in this asset.”
Jones Lang LaSalle acted on behalf of Haslemere Estates.
EGi News 03/09/01
