Charitable office developer CAN Mezzanine is to sell a converted Victorian warehouse-turned-office building in Shoreditch for £25m, using the proceeds to redevelop another social sector office hub in Southwark.
Savills is bringing the 34,198 sq ft site at 49-51 East Road, N1, to the market for the developer, which is being sold as a six-month leaseback to CAN.
The four-storey building (pictured), which also includes a lower ground floor, comes with potential for redevelopment, according to agents.
Paul Bassi, associate director of central London investment at Savills, said a potential buyer could repurpose the site to create “best-in-class offices”.
“London is a global hub for technology companies and this area, in particular, has seen a huge rise in both office space let to tech companies but also owner-occupied buildings,” he added.
CAN will use the sale to fund the refurbishment and expansion of its flagship hub for the social sector in Southwark.
The site, at 32-36 Loman Street, SE1, currently provides workspace for 270 people working for charities, social enterprises and not-for-profit organisations, but CAN wants to expand it.
The building, a former Art Deco engineering works, will house up-to-date, flexible office space with a multifunctional conference and event venue.
Clive Dove-Dixon, chief executive of CAN Mezzanine, said: “The sale is in line with our strategy to release equity to reinvest in developing a flagship hub for the social sector in Southwark.
“CAN has worked closely with the charity and social sector for over 20 years, and the proceeds from this sale will enable us to provide a new home for small and medium-sized social organisations in the heart of central London, from which they more easily collaborate with Westminster and the City.”
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