European real estate investment platform Henderson Park has acquired Ibex House, a grade II listed Art Deco office building in the City of London, in partnership with Dukelease Properties.
Financial details were not disclosed but sources close to the deal place the price at £121 mln (€135 mln).
Built in 1937, the multi-let property is 85% occupied with 28 tenants from a diverse range of sectors. They include BBC Media Action, PLP Architecture, Capita and Thomas Cooper.
'The building has a strong tenant line up, offers reversionary potential and is in a high demand area that is benefitting from a number of nearby developments including the new Chinese embassy,' said Nick Weber, founding partner of Henderson Park. 'This is our third office acquisition in London and we continue to see attractive pricing levels against a backdrop of political uncertainty.'
The property comprises 191,100 ft2 (17,750 m2) of office, restaurant, retail and gym accommodation arranged over a basement, lower ground and eight upper floors, as well as a former public house which is also being acquired. Ibex House has a weighted unexpired lease term of 5.25 years, excluding the public house, and has a low passing rent of £35 (€39) per ft2 which Henderson Park describes as 'highly reversionary'.
The firm said it planned to reposition the building through a phased refurbishment programme, taking vacant possession of space as it becomes available. Initial works will include the reconfiguration of the ground floor to incorporate the public house and enlarge and modernise the reception area including the introduction of a lounge and café.
'We are pleased to be moving forward with this exciting development alongside Henderson Park,' said Richard Leslie, CEO of Dukelease Properties.
.Ibex House is one of the most iconic buildings in central London and a great investment opportunity in this zone one area. We are looking forward to making improvements to the building that will further bolster its commercial offering in its prime location,' Leslie concluded.
