UK property consultancy Allsop has completed on the £20 mln (€23 mln) off-market purchase of The Stables, Britannia Street, a period office building a short walk from King’s Cross station, on behalf of a private Middle Eastern investor.
According to the advisor, the sale represents a 6% net initial yield.
A former stable building arranged over four storeys, the property has undergone extensive refurbishment works to provide high-quality EPC B rated office accommodation, extending to c. 18,000 ft2 (1,672 m2).
It is circa 80% let by income to an established venture capitalist firm, its largest tenant, for a further 10 years, with provisions for CPI-linked fixed rent increases.
The Stables is located in the city’s Knowledge Quarter at King’s Cross, one of the UK’s most renowned regeneration projects, and is adjacent to the forthcoming redevelopment of the former Royal National Throat, Nose and Ear Hospital site, which has planning permission for 72 homes and 14,000 m2 of office space, including lab-enabled floors.
The Stables is only a six-minute walk from King’s Cross and St Pancras stations.
Mathew Millman, partner at Allsop, said: 'We are delighted to have completed the off-market purchase of The Stables.
'The transaction demonstrates the continued demand for high quality long let office buildings within close proximity to major transport hubs, with many investors seeking to capitalise on historically attractive yields.'