Slough Estates has exchanged contracts with Scarborough Group for the sale of Phase 600/700 of its Centennial Business Park in Elstree.
The £16.35m deal follows the sale in November of Phases 100/200 to Morley for £35m.
Phases 600/700 comprise four office buildings totalling 67,651 sq ft providing rental income of £1.3m pa.
The sale price reflects a net initial yield of 7.5%.
Slough Estates intends to retain the remaining business space at Phase 300 as well as nearly 2.85 hectares of development land.
John Danks, regional director at Slough Estates, said:
“This transaction is part of our active acquisition and disposal programme – in line with Slough’s strategy of trading stock and recycling capital across the UK portfolio.
“Our remaining land on this site represents an excellent development opportunity within the M25.
“These actions follow the earlier acquisition of the 40 hectare Woodside Estate at Dunstable which strengthened our North London and East of England Region.”
Slough Estates was advised by Jones Lang LaSalle; Lambert Smith Hampton acted for Scarborough.
References: EGi News 06/01/06
