Aon City office comes to market for £94 million (UK)

A private client of Gresham Down and Chris Freer Smith is looking to sell a 193,528-ft² (approx. 18,000-m²) office let to Aon for another seven years, for more than £94 million (approx. €107 million).

Lloyds Chambers, 1 Portsoken Street, E1, is also sublet to tenants including Hermes, the Finacial Services Compensation Scheme and Axiom. The nine-story steel frame office building, with typical floor plates of 25,000 ft², which is close to Tower Hill, was built in 1983. It sits on a 0.68 acre rare island site.

Gresham Down Managing Partner Stephen Down said: "Lloyds Chambers was designed to a very high specification which adds to its considerable asset management potential. Aon has sublet the majority of the building at a low passing rent of £36.69 In addition an additional 56,340 ft² of lettable space could be created if part of the copious central atrium, one of the largest in London, was in-filled."

Last week insurance giant AON announced that it would be the first tenant at British Land and Oxford Properties' 'Cheesegrater' tower. Aon has signed heads of terms on 191,000 ft² at the 47-story Leadenhall tower.

Down added: "The building also offers considerable redevelopment opportunities, on the expiry of the Aon lease, in 2018, or perhaps earlier subject to negotiations. It sits in a neighborhood of exciting new projects including offices, hotel, residential and student accommodation which are planned to complete before 2018."

Source: MJ2 Limited

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