Warner Bros Entertainment’s West End headquarters has been sold to Schroders-managed WELPUT for £65m.
The price paid by the fund to US investor Crescent Heights reflects a 5.94% yield.
Crescent Heights bought the 135,000 sq ft Warner House at 98 Theobalds Road, W1, in July 2009 for £43m – a yield of 8.5% – from Land Securities.
Warner House is let to the entertainment company until September 2014. It is paying just under £30 per sq ft.
Nigel Kempner, chairman of Grafton Capital Partners, which advised WELPUT, said: “We liked the location of the building, which is in an area where we anticipate substantial market improvements. It provides an opportunity to enhance the value of the building in the short term.”
Allsop advised Grafton; Everton Phillips represented the vendor.
joanna.bourke@estatesgazette.com
