Spanish property company Allegra European Holdings has sold the Seven Dials Warehouse in London’s Covent Garden to CBRE Global Investors for around £80 mln (€100 mln).
Spanish property company Allegra European Holdings has sold the Seven Dials Warehouse in London’s Covent Garden to CBRE Global Investors for around £80 mln (€100 mln).
The deal reflects a net initial yield of below 4.5%.
The 5,600 m mixed-use former brewery comprises 3,344 m2 of office space, which is leased to Facebook as its London headquarters until 2018. A further 2,787 m2 on the ground floor is let to retailer Urban Outfitters and Belgian restaurant Belgo.
The Grade II listed 19th century block in the heart of Covent Garden will be added to CBRE GI’s Pan European Core Fund, which is mainly backed by European investors.
Colliers International brokered the deal on behalf of Allegra while H2SO (now part of Colliers International) advised CBRE Global Investors.
The Spanish investor purchased the building from Draco Properties for £62 mln in 2012 in a deal reflecting a net initial yield of 5.45%. The block provides a total rent of around £3.6 mln.
Seven Dials Warehouse was redeveloped by Schroders in 2007 to create a building providing warehouse-style office or retail space.