Kenmore Capital Sale a joint venture between Kenmore Property Group and Halifax Bank of Scotland has bought an office building in Sale, Greater Manchester, for a price in the region of £20m
The yield on the sale of the 127,000 sq ft Jackson House by LaSalle Investment Management has not been disclosed, partly because sitting tenant Yell is about to vacate.
The five-storey 1970s building has floorplates of up to 28,500 sq ft, which is among the largest in South Manchester.
Located in the centre of Sale on the A56 Washway Road, the building also has 399 parking spaces.
Rental levels are quoted at £16.50 per sq ft with car parking spaces at £400 per space.
Ben Roberts, head of Manchester’s Kenmore office, said: “This was an excellent opportunity for us, particularly in light of the fact that the South Manchester office market has started to pick up over the last few months and is now showing real signs of recovery.
“Drawing on our track record, we will be implementing a focused asset management strategy, with a view to attracting new occupiers for the remaining space.”
Julian Agnew, fund manager at LaSalle Investment Management, said “This was a strategic disposal for us, to re-weight the portfolio, having acquired the property for £12.65m in 2000.”
The building is currently let to occupiers including Chep UK, HCCT (Holidays) Ltd, Harrington Brooks and Yell.
More than half the building is currently vacant, and this will rise once Yell vacates for new premises at Peel’s Venus scheme in Trafford Quays.
Savills represented the Kenmore jv and is the sole letting agent for the building.
LaSalle Investment Management was represented by Jones Lang LaSalle.
References: EGi News 09/03/06
