Development Securities today announces that it has sold Bruges Place, a 16,600 ft² (approx. 1,486 m²) office building in Islington, North London, for £6.5 million (approx. €8 million), at a yield of less than 4 per cent. Bruges Place is one of the assets within the portfolio of five properties in North London, acquired in February 2014 for a combined total of £17.5 million (approx. €21.5 million).
The building at Bruges Place is multi-let, producing a total income of £172,300 per annum with a vacancy rate of 42.4 per cent. In addition to the office space, the building includes 21 flats, fully occupied on a long leasehold basis, from which ground rents are collected.
Matthew Weiner, Director, Development Securities said: "The early sale of Bruges Place, one of the office buildings within the portfolio of projects that we acquired three months ago, will allow us to recycle capital into further development opportunities where we can create value. The remaining assets within the portfolio offer good opportunities for residential-led redevelopment and all benefit from strong locations, close to major transport hubs in underground zones 1 and 2 of North London."
Source: Development Securities