Dunedin sells The Stones in Edinburgh

Edinburgh-based Dunedin Property Group is selling a trio of buildings at South Gyle Business Park, Edinburgh, for over £34 mln (EUR 50.6 mln). Global property consultant Jones Lang LaSalle is acting as advisor for the seller.

The buildings, which form a section of the park known as The Stones, are being sold at a time amid signs that investor confidence is returning to the area. Last summer, Dunedin put the whole of South Gyle Business Park up for sale at offers over £47 mln, but changed its mind in October after a deal with German investors fell through, daily Scotsman reported.

The Stones is occupied by the Royal Bank of Scotland (RBS) with leases expiring in 2020 on two of the buildings, named Broadstone and Forthstone, and a sub-lease from tenant Abbey National on a third building, called Cornerstone, until 2013.

Alasdair Humphery, head of office at Jones Lang LaSalle Edinburgh, said: 'Dunedin is looking at offers over £34 mln and we are confident that we will do better than that. In west Edinburgh, this sale is going to be one of the biggest deals of its kind for some time.' The occupier market in west Edinburgh remains challenging, but there are signs of a turnaround in the future on the back of recent activity, he said.

'The Stones sale has already sparked off interest from Ireland and Germany and I would imagine we will have a fairly broad response from the UK and continental Europe particularly as the buildings could be purchased as a trio or individually.' Following the disposal, Dunedin will still have four remaining buildings at South Gyle Business Park.