London-based REIT Workspace Group has exchanged contracts to sell 13-17 Fitzroy Street in Fitzrovia, Central London, to an undisclosed buyer, for a total of £92 mln (€107 mln).
The sale of the vacant property is at a discount of 3.2% to the 31 March 2021 valuation and a capital value of £993 per sq. ft.
The property currently provides 92,700 sq ft (8,600 m2) of net lettable space over lower ground, ground and six upper floors. It was acquired in 2017 from Arup, the owner and occupier, for £98.5 mln. It was fully let to Arup until June 2021, providing £4.9 mln of net rental income a year.
Graham Clemett, Chief Executive Officer of Workspace, commented: 'Fitzroy Street has been a useful and secure source of income over the last four years. With Arup vacating as expected in June this year, now is the right time to sell this asset and recycle the capital into the other exciting project and acquisition opportunities we have ahead of us, which we believe will generate superior value for shareholders.'
