Chelsfield has sold The Point at Paddington Basin to WELPUT, the property unit trust run by Schroders and Grafton Advisors, for £125m.
The Point comprises 235,000 sq ft of office space and is let to the mobile phone operator, Orange, which signed up for the building in 2001.
However, Orange has since decided against occupying the building as the cost of relocation and fitting out would have been too high at a time when the company was trying to cut costs.
Orange is still locked into its 25-year lease and is paying an estimated £7.75m in rent. It is trying to sublet the property and is believed to be in negotiations with a potential occupier over a single floor of 18,000 sq ft.
Chelsfield is still trying to sell its 240,000 sq ft Waterside building, also at Paddington Basin. The property is fully let to Marks & Spencer until June 2028 at a rate of around £8m a year. Chelsfield is asking around £140m for the building.
Edward Symmons and BH2 are advising Chelsfield. CB Richard Ellis acted for WELPUT.
Source: Freeman News