CLS has exchanged contracts for the acquisition of One Six Six on College Road in Harrow for c.€16m (£13.8m) excluding costs. Completion is expected in January 2020. One Six Six compromises 34,655ft² of modern office space and is currently multi-let to eight tenants with a WAULT of 4.8 years to breaks (7.9 years to expiries). One Six Six has a net initial yield of 7.1% and strong cash flow generated from its diverse tenant base. The building was completely renovated in 2016 and boasts attractive features for occupiers such as shower facilities on each floor, a landscaped amenity area and car parking in the basement with 77 parking spaces.
Harrow is an established commercial centre situated approximately 10 miles north-west of Central London and One Six Six is a five-minute walk from Harrow-on-the-Hill train station. Harrow benefits from excellent transport links providing regular services to London Marylebone in 18 minutes, and the underground station providing access to Baker Street in 20 minutes.
Fredrik Widlund, Chief Executive Officer of CLS, commented: “This property is a great fit for our UK portfolio as we already own a number of assets in the west London area, including nearby Hygeia on College Road where our in-house asset management initiatives have proven to be very successful. We believe that Harrow has significant opportunity for growth within Greater London from which we are well-positioned to benefit. We continue to look for acquisition opportunities across our key markets that meet our investment criteria.”