Ho Bee Land’s Rose Court on the South Bank, SE1, has been put on the market.
Savills has been instructed to market the 157,144 sq ft office block for offers in excess of £98m – a 4.35% yield.
The building is let to the Department for Communities and Local Government until September 2018 and generates a passing rent of £4.3m pa.
Ed Nicholson, associate director in the central London investment team at Savills, said: “With the current annual passing rent reflecting only £27.65 per sq ft, this is a highly reversionary opportunity for investors to take advantage of the building’s position in one of London’s most supply-constrained markets. Furthermore, the option to fully refurbish or redevelop the offices at the expiry of the current lease could include the addition of two floors for office or residential use, subject to planning. We therefore anticipate a wealth of interest from a wide variety of buyers.”
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