M&G puts government-let Bristol office up for sale 

M&G Real Estate’s Life Fund has put Temple Quay House in Bristol up for sale. The government-let office is on the market for circa £60m, with the asking price reflecting a 5% yield.  The office has a total floor area of around 85,000 sq ft, according to Radius Data Exchange.  It is let to government agencies including the Planning Inspectorate and Highways England. It is understood the government recently signed up for a reversionary lease of another 16 years at Temple Quay House, ahead of a lease expiry in about two years’ time.  The move comes shortly after the Ministry of Defence agreed to take 32,000 sq ft of office space just outside Bristol in December. For M&G, the sale comes at a time of limited supply and growing demand for Bristol offices, which is pushing rents upwards. At the end of Q1 prime rents stood at £35 per sq ft Bristol, according to CBRE. However, the office investment market has got off to a slow start this year, with just £20m transacted in Q1 and £12.8m in Q2. M&G declined to comment. To send feedback, e-mail anna.ward@egi.co.uk or tweet @annaroxelana or @estatesgazette