PGIM Real Estate has acquired a landmark office building in Edinburgh from global real estate investment company Kennedy Wilson. IPE Real Assets understands that the price paid was close to £38m (€44.8m).
Argyle House, located at 3 Lady Lawson Street, is situated in a prime location within the city centre and is fully let to the UK government.
Charles Crowe, head of UK investment at PGIM Real Estate, said: “Supported by the strong underlying fundamentals of the city, Argyle House combines a secure income stream with fantastic long-term potential for redevelopment and regeneration in the heart of Edinburgh city centre.”
Matt Milroy, head of asset management for the UK at Kennedy Wilson, added: “We acquired Argyle House opportunistically as part of a larger non-performing loan portfolio in 2014, identifying a strong underlying asset in a fantastic location generating government-backed income.
“Having reached the end of our business plan for Argyle House, we’ve taken the opportunity to realise our investment with the sale demonstrating the continued strength of the Edinburgh market.”
PGIM Real Estate is a business of PGIM, the global asset management business of Prudential Financial, Inc.
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