Land Securities yesterday announced that it has exchanged contracts for the leasehold sale of One Wood Street, London EC2 to the fund manager Aerium on behalf of the Glenn Arrow UK Property Fund for £105.5 mln.
Completed in 2007, this modern and environmentally-leading building provides 15,020 m² of offices let to Eversheds Properties Limited and 1,500 m² of fully let retail accommodation at a total rent of £8.4 mln. per annum. The property is held on a long lease from The City Parochial Foundation for a remaining term of 156 years, at a ground rent geared to 10.85% of rental income.
There is an additional income of £3.4 mln. per annum from Citigroup until December 2010 which will be retained by Land Securities.
Commenting on the sale, Richard Linnell, Head of Investment Management for Land Securities' London Portfolio, said: "This sale demonstrates the growing investor interest in good quality assets. Developed in 2007, this property is of the highest quality and sets a new benchmark in environmental credentials. The quality of the building and the strength of the income stream has enabled us to achieve an excellent investment result."
Source: Land Securities