Rockspring Property Investment Managers announces that it has acquired a 50% stake in a new speculative office development at St Cloud Way, Maidenhead, from RREEF. RREEF will continue to own the remaining 50% of the site, while Rockspring will take the lead in developing the project.
The proposed Maidenhead HQ building.
The joint venture plans to implement a significant program to create a new headquarters office building consisting of 66,655 ft² (approx. 6,000 m²) of new grade-A space.
Arranged over four floors, the scheme will provide a car parking ratio that is unparalleled anywhere else in the town. With an estimated development cost of £10 million (approx. 12 million) construction is due to start on site Q3 2012, with completion of the BREEAM 'Excellent' office building expected in Q3 2013.
Situated in the center of Maidenhead, the site benefits from excellent transport links, including the M4, which provides direct access to the M25. The development is also expected to benefit from the favorable supply/demand imbalance that continues to drive the M25 West office market.
The purchase follows a number of recent development acquisitions by Rockspring outside Central London for its clients and funds, including a 66,000 ft² office scheme in Staines; Kings House and Conquest House in Kingston, where Rockspring secured the largest South East office letting outside Central London last year; a 100,000 ft² speculative grade-A office development called Velocity in Weybridge which will be delivered to the market in the autumn of 2012; and The Stanza Building in Uxbridge, an 81,000 ft² grade-A office which will be delivered in summer 2012.
Michael Pryer, Associate Partner of Rockspring, commented: "Building on the significant progress made last year on our South East office portfolio, this purchase further strengthens our development exposure in this market, where we continue to believe that the limited supply of excellent quality office space, coupled with strong demand, makes this an attractive investment opportunity to create above-average returns for our investors."
Source: FTI Consulting