The Estate Office’s city office hits market for £18m

The Estate Office has appointed agents to seek a buyer for its city office at 16–18 New Bridge Street, EC4. The vendor is inviting offers in excess of £18m, reflecting a net initial yield of 6.8% and a low capital value of £780 per sq ft. The freehold property comprises approximately 23,083 sq ft of office, retail and ancillary accommodation over basement, ground and six upper floors. The building is multi-let to four office tenants and two retail occupiers, with lease breaks and expiries ranging from January 2026 to March 2033. The ground and lower ground floors are let to Tesco Stores, which is understood to be close to committing to a new 15-year lease. Assuming Tesco signs the new agreement, the property offers a WAULT of approximately 4.9 years to lease expiries and 3.3 years to the earliest possible breaks on the let office space. The asset generates a total passing rent of £1.3m per annum, reflecting a low average rent of £57.19 per sq ft. Allsop City Leasing & Investment is advising Estate Office on the sale. Image: © Allsop City Leasing & Investment