Kennedy Wilson has bought the Forum, a 252,000 sq ft office campus between Southampton and Portsmouth in Hampshire.
The US-based firm has paid $81m (£61m) for the property, which is on the 1m sq ft Solent Business Park.
The investor said the acquisition was completed at a 6.3% cap rate with 85% occupancy and that following the leasing of the vacant space, the yield on cost was projected to grow to more than 9%.
Tristan Capital Partners and Alchemy Asset Management bought the park in 2016 for around £45.5m, reflecting a 7.25% yield.
Mike Pegler, head of UK for Kennedy Wilson, said: “The acquisition of Forum contributes to our ongoing focus on trading into assets with strong cash flow and high growth potential in the UK. We acquired Forum below replacement cost, and the transaction represents a secure initial income stream for Kennedy Wilson with further upside potential as we implement our capital and asset management programmes to improve the tenant experience and enhance sustainability credentials onsite.”
Tenants at the Forum include HSBC and Specsavers. It has a weighted average lease term to first break of 4.2 years and offers the potential for further development with an adjacent 11-acre vacant parcel which has approval for a mixed-use scheme, including light industrial space.
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