£11m City fringe deals complete

Tri Capital has bought 49-51 Central Street, EC1, from Wilkinson Holdings for £2.32m, reflecting a net initial yield of 4.75%.

Farebrother acted for Tri, while Strettons advised the vendor.

A private wealth management fund has bought 33 Great Sutton Street, EC1, from an undisclosed vendor for £4m – a 4.69% yield. The buyer was unrepresented; Strettons acted for the vendor.

Separately, 140-142 St John Street, EC1, has been bought by Henderson Global Investors on behalf of the London Borough of Southwark Pension Fund from an undisclosed vendor for £5.05m – a 4.56% yield.

Goodsir Commercial acted for the purchaser; Strettons advised the vendor.

Mark Bolton, agency director of the Strettons City Office, said: “The low initial yields achieved in the three transactions are reflective of the continued investment demand for commercial property in the City Fringe.

“The TMT sector is driving demand and with the City Fringe and its environs becoming established as a global technology hub this shows no sign of ending.

 “The upward pressure on rents we have seen over the 12 to 18 months reflects that desire of TMT companies from around the world to have a presence in this area of London and investors are following.”


Source: James Buckley, CoStar News