Verwaltungsgesellschaft für Versorgungswerke (VGV), the pension fund for doctors and dentists in Berlin, has bought a London office asset.
CBRE Global Investors bought 1-5 Howick Place on behalf of the fund’s separate account mandate.
Invesco Real Estate sold the property for a reported £205m (€284m) on behalf of Doughty Hanson’s European Real Estate II fund and Urban & Civic.
The sale is the first from a portfolio asset managed by Invesco since the signing of a management agreement in April last year.
As reported, VGV has also bought offices in Birmingham this year, investing in the Brindleyplace complex, let to RBS, and sold by investment company Tritax.
CBRE GI won a £392m mandate from VGV to invest in ‘trophy assets’ in Europe, the US and Asia for VGV last year.
The fund is also investing in the hotel, office and retail sectors as it looks to diversify its portfolio.
The 172,561 sq ft scheme, completed in 2012, includes office, residential and retail space.
Most of the office space is let to DONG (Dansk Olie og Naturgas) Energy.
Tenants also include Giorgio Armani, Informa and Edelman.
The private residential units are let by way of an assured short hold tenancy (one-year term certain).
The affordable accommodation is let to Octavia Housing, expiring in 2137.
The retail unit is let to Iris & June.
Harald Floeer, director of portfolio management at CBRE GI, said the core property investment would provide “secure, long-term rental income”.
“The Victoria sub-market has experienced significant regeneration over the last five years, and we see this as a positive factor as the local vicinity continues to undergo improvements,” he said.
Floeer said rental growth and occupier demand would continue to rise in tandem with the area’s appeal.
The building is let to Amazon as its UK headquarters.