Henderson Global Investors and Royal London Asset Management swap £40 mln. of London assets (UK)

Henderson Global Investors, on behalf of its Central London Office Fund I, and Royal London Asset Management (RLAM), have sold their respective interests in 12-13 Henrietta Street and Bishops Court, Artillery Lane, to each other. A balancing payment will be made by RLAM to Henderson, upon completion.

12-13 Henrietta Street

12-13 Henrietta Street.

Bishops Court

Bishops Court.

12-13 Henrietta Street is a prime Covent Garden asset, providing 26,134 ft² (approx. 2,400 m²) of office, retail and ancillary accommodation over basement, ground and four upper floors. The freehold property is multi-let to four occupiers on a lease term of 2014 - 2029.

Bishops Court provides 53,555 ft² (approx. 5,000 m²) of net office and ancillary accommodation over basement, ground and five upper floors. The property is let to HSBC Insurance Holdings Ltd on a lease expiring August 2012.

Nick Deacon, Fund Manager, at Henderson Global Investors said: "This transaction represents an innovative play for both parties.

"Bishops Court provides an exciting opportunity for us to add value through asset management initiatives and we are confident that we can unlock significant value for our investors. Looking forward, our financial flexibility and continued asset recycling will allow us to continue to take advantage of these types of opportunities."

Keith Miller, Senior Fund Manager at RLAM added: "This swap is the second such transaction that we have engaged in and enables both parties to pursue their respective investment strategies.

"The acquisition of Henrietta Street provides us with the opportunity to increase our exposure to a sub sector where prime assets are scarce and difficult to secure. The timing of future lease events should allow us to benefit from the rental growth anticipated from the Central London office market."

GM Real Estate advised on the transaction.

Source: Henderson Global Investors

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