6th Jun 2014 08:20
LONDON (Alliance News) - Development Securities PLC Friday said it has acquired a long leasehold interest in a 146,000 square feet office building near Waterloo Station in London for GBP87 million, in partnership with Proprium Capital Partners.
Under the new joint venture, the company said it has taken a 15% equity stake in the project, with Proprium taking the remaining 85% stake.
The 12 storey office building, Becket House, is located on Lambeth Palace Road, less that 500 metres from the River Thames and in close proximity to Waterloo Station.
Development Securities said the building is let on a twelve-and-a-half-year unexpired lease to accountants Ernst & Young, while Guy's and St. Thomas' Charity own the freehold to the property and 137 years remain on the long leasehold.
"Today's acquisition presents an excellent investment in a central London office building that benefits from a secure, long-term income stream," said Chief Executive Michael Marx in a statement, adding: "A number of redevelopment options may also be considered over the medium to long-term in order to add value to our investment."
Development Securities shares were untraded Friday morning. They were last quoted Thursday at 238.75 pence.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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