Trio of office assets acquired by Wainbridge

£39m paid for 264,858 sq ft of office space in Croydon, Bristol & Central London

Article posted: 24 Mar 2011

Private real estate investment firm Wainbridge has purchased three office assets in London, Croydon and Bristol on behalf of the Wainbridge Global Opportunities London fund. Comprising 264,858 sq ft across six buildings, Wainbridge paid £39m in total for the properties.

The Central London asset comprises three buildings totalling 60,670 sq ft of office space in Midtown on Chenies Street, WC1. The £24.5m purchase price represents a net initial yield of 6%. Fully let to advertising group Omnicom until 2016, the properties offer significant asset management opportunities.

Comprising 112,329 sq ft of office space in Croydon, Surrey, Sunley House (pictured) is a twelve-storey, multi-let office building purchased out of receivership by Wainbridge together with a private investor. The partnership paid £11m for the asset, representing a net initial yield of 10.7%. Tenants at the property include Zurich Insurance and the Secretary of State for Communities and Local Government.

Linked to the Sunley House purchase, Wainbridge again partnered with a private investor to acquire Froomsgate, comprising 91,859 sq ft of office space in Bristol city centre. Also acquired out of receivership the property was secured for £3m, a 25% net initial yield. Froomsgate is home to Avon & Somerset Police Authority and the Crown Prosecution Service.

Commenting on the acquisitions, Principal & co-founder of Wainbridge, Rob Rackind said: “We have acquired these assets at very attractive prices and significant discount to replacement value, having already indentified a range of creative initiatives that we feel will not only deliver string uplifts in value but which play to our strengths of dealing with complex assets with a degree of leasing or capex risk.”

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Posted by Jo