Clearbell's Clearbell Property Partners II has
sold 3 Harbour Exchange, a multi let office building in the South Quay area of
the Docklands, to Lee Kum Kee, the Chinese sauces and condiments giant which
invented oyster sauce in the 19th century, for £37m, CoStar News can reveal.
is located close to Canary Wharf and South Quay DLR station.
initiatives include renewing leases and upgrading vacant accommodation and
common areas, to improve incomes. Significant M&E replacement works were
undertaken to improve the energy efficiency of the office space and reduce
refurbishment, over 70,000 sq ft of vacant space was let. This drove rents
upwards with the final deal concluding at £35 per sq ft. Lee Kum Kee will
occupy one floor of the building.
Partner at Clearbell, said, “Harbour Exchange was purchased at a sensible
price, recognising the opportunity to improve the offices and secure new
tenants. Having improved the quality of the offices we have been able to
attract tenants from all parts of London looking for value and accessibility”
Property Partners II LP remains invested in two additional office buildings at
Knight Frank advised on the deal.
Capital alongside Morgan Stanley Alternative Investment Partners Real Estate
bought the long leasehold interest in 178,713 sq ft (16,603 sqm) of offices
across three buildings - 3, 4, 5 Harbour Exchange - from Land Securities for
£37m in 2014.
At the time the
asset was was circa 80% let with tenants, including British American Tobacco
Lee Kum Kee was
established in 1888 by founder Mr Lee Kum Sheung who is said to have invented
oyster sauce in Nanshui, Zhuhai, Guangdong Province of China.
Lee Kum Kee has
subsequently become a household name with five production bases in Xinhui,
Huangpu, Hong Kong, Malaysia and Los Angeles, with its the Xinhui factory one
of the largest operations in the world, occupying
1,700 acres and 74m sq ft.