The freehold to 21 Grosvenor Place, SW1, has been put up for sale by Munich Re.
The West End office block, which contains 57,329 sq ft of offices and shops over lower-ground, ground and five upper floors, has potential for refurbishment.
Feasibility studies have shown potential to increase massing by up to 20,599 sq ft and improve the amenities offered by creating terraces on the third to fifth floors, plus a new sixth floor with a wrap-around terrace.
The site could be repositioned, as the headlease supports medical and healthcare use. This has been seen in other recent developments in the area, including the development of a private hospital at 33 Grosvenor Place and the ongoing development of the Peninsula Hotel at 1 Grosvenor Place.
Munich Re bought the property for £32.2m from Derwent London in 2003.
Miles Payne, a partner at Cushman & Wakefield, which is acting for the vendor, said: “21 Grosvenor Place is one of the most exciting sites to come to market this year.
“The West End’s property market continues to experience strong leasing activity, driven by high demand for both office and alternative sector space, and recorded the highest volumes for the first half of a year since 2006.”
Payne added: “[21 Grosvenor Street] offers prospective investors an opportunity to capture significant rental uplift following refurbishment or occupancy repositioning. We anticipate significant interest across both geographies and sectors.”
To send feedback, e-mail chante.bohitige@eg.co.uk or tweet @bohitige or @EGPropertyNews
See which agents are doing the most deals in the London submarkets with our On-Demand Rankings >>
