SWIP swoops on €82m London office

SWIP Property Trust (SWIPPT) has bought a government-let office in London’s Whitehall district for £65.5 mln (€82 mln).

The 8,768 m2 site, at 3-8 Whitehall Place, is let to the UK government’s Department of Energy and Climate Change (DECC) until 2029, with a break in 2021. It generates £3.6 mln rent per year, with a review in 2016 and another in 2019 that comes with a guaranteed uplift to at least £4.8 mln.

‘SWIPPT are delighted to have acquired this secure, government-let investment in the prestigious area of Whitehall’ said James McLean of Aberdeen Asset Management, which recently took over SWIPPT.

‘The Grade A office building was substantially refurbished in 2004 and has excellent rental growth prospects off an overall passing rent of £38 per square foot [€516 per m2].’

Colliers International advised Aberdeen, while CBRE represented the unnamed vendor.