A well-known Edinburgh office block bought by Odysseus Capital Management post-pandemic has been placed into administration.
Edinburgh One at 60 Morrison Street – the former Scottish Widows Investment Partnership headquarters in the city’s prime Exchange District – was bought by Edinburgh-based Odysseus for more than £22m in August 2021.
CBRE Investment Management Credit Strategies provided an acquisition and refurbishment facility of more than £36m to Odysseus to buy the block from Deka Immobilien Investment and to add two floors and a roof terrace.
However, security trustee Situs Asset Management called in administrators to the holding company for the block on 19 October. Alistair McAlinden and Blair Nimmo of Interpath Advisory were appointed joint administrators of the holding company, which has no other assets.
Odysseus submitted plans to increase the floorspace at Edinburgh One from 55,000 sq ft to 85,000 sq ft through Edinburgh-based architect CDA and this was approved in December 2021. The proposed delivery date was mid-2023.
The administrators have instructed Savills to sell the property.
JLL, which was appointed letting agent with Dobson Scotland back in 2021, said at the time of the purchase that the repurposed Edinburgh One would be delivered to address the forecast critical shortage of grade-A office accommodation in Edinburgh city centre.
It said at the time: “With numerous high-profile companies facing lease events in 2023/24 they are already planning to secure high-quality space which achieves their sustainability requirements as well as delivering the wellness and welfare expectations of staff.”
Richard Edlmann, founder of Odysseus, said the “exemplar development” would be one of the first office buildings in the city centre designed after COP 26.
A former major in the British army, Edlmann set up Odysseus in April 2012, winning a contract as asset manager for a Scottish Widows Investment Partnership (now Aberdeen Standards Investment) PRS fund. Odysseus evolved to become a commercial and residential developer.
Edlmann’s fellow directors at Odysseus include former Scotland ‘B’ international rugby union player Peter Lillington, JLL capital markets chief executive for EMEA Matthew Richards, and former Jackson Criss partner, now consultant, John Boissier.
Odysseus has been contacted for comment.
To send feedback, e-mail julia.cahill@eg.co.uk or tweet @EGJuliaC or @EGPropertyNews
