UK privately-held group Topland has acquired two UK office assets – 145 Morrison Street in Edinburgh and Citygate II in Newcastle – from the listed REIT EPIC managed by The Ediston Property Investment Company, for a total of £31 mln (€37 mln).
Citygate II is a prime office building in the heart of Newcastle CBD and adjacent to the city’s two most prominent developments Strawberry Place and The Helix, Innovation Quarter. The building comprises high quality office accommodation totalling 63,000 sq ft (5,850 m2) arranged over ground and five upper floors. The building is 100% let to three tenants producing £1.6 mln per annum. The building was acquired for £19 mln, reflecting a net initial yield of 7.80%.
145 Morrison Street, Edinburgh is a prime office building strategically located in Edinburgh’s Exchange/financial services district. The building provides 26,900 sq ft of office accommodation over ground and four upper floors. The building is entirely let to Capita until 26th July 2030 and was acquired for £12.06m, reflecting a net initial yield of 5.80%.
Sol Zakay, Chairman & CEO of Topland, commented: ‘These are quality assets, very well located in dynamic office markets. They provide a strong WAULT, a strong tenant base and also offer optionality in terms of investment strategy.’
He added: ‘We remain acquisitive and will be looking to continue with our investment drive into 2022.’
Savills acted for Topland on the acquisition. Property consultancy Allsop acted on behalf of the seller.
