Norwegian developers Eiendomsspar AS and Aspelin Ramm Gruppen AS have sold 1 Buckingham Gate, SW1, for £55.7m. The Middle Eastern buyer is believed to be fronted by arch dealmaker and Israeli solicitor Egal Ahouvi. By Edward Simpkins and David Mann.
The deal represents a net initial yield of 6.78%, with a £3.8m pa income.
The 16,050 sq m (172,770 sq ft) office complex overlooking Buckingham Palace comprises new and refurbished buildings and is held on a long leasehold from the Crown Estates.
The building was redeveloped by Chesterfield in the late 1980s and was recently subject to a rent review.
Healey & Baker and Hunters & Co represented the vendors.
Ahouvi is also believed to have negotiated a £15m sale-and-leaseback deal for the Israeli investors for Channel 4’s offices at Francis House in SW1. The deal reflects a yield of 6.75%.
Channel 4 has taken a 20-year lease on the 3,900 sq m (42,000 sq ft) office behind the Army & Navy store in Victoria.
Fuller Peiser handled the Francis House sale, while Andrew Barrs & Co acted for the Israelis on both deals.
EGi News 04/02/00
