Allsop eyes red-letter day from £5m-plus Royal Mail lots
Two Royal Mail sites in London will go under the hammer through Allsop next month, each guided at £5m-plus.
The postal sorting offices occupy a 0.5-acre site in New Cross, SE14 (lot 36), and a 0.7-acre plot in Leyton, E10 (lot 43).
Both are earmarked as redevelopment opportunities as Royal Mail, which was bought by Czech billionaire Daniel Křetínský in December for £3.6bn, continues to consolidate its operations. Royal Mail and Parcelforce Worldwide recently found a new owner for their freehold site at King’s Cross, N1, marketed through CBRE, with Reef and GIC teaming up on a £100m bid.
Two Royal Mail sites in London will go under the hammer through Allsop next month, each guided at £5m-plus.
The postal sorting offices occupy a 0.5-acre site in New Cross, SE14 (lot 36), and a 0.7-acre plot in Leyton, E10 (lot 43).
Both are earmarked as redevelopment opportunities as Royal Mail, which was bought by Czech billionaire Daniel Křetínský in December for £3.6bn, continues to consolidate its operations. Royal Mail and Parcelforce Worldwide recently found a new owner for their freehold site at King’s Cross, N1, marketed through CBRE, with Reef and GIC teaming up on a £100m bid.
The portfolio being handled by Allsop includes a further two sites, one in Forest Gate, E7, guided at £2.5m-plus and the other in Manor Park, E12, guided at £2m-plus, which were also being readied for the 6 February commercial auction. However, both have sold prior to different buyers at prices ahead of their guides. Allsop auctioneer George Walker said they were snapped up within 10 days of being marketed.
The structure of the sales for the four assets means that Royal Mail can continue to use them for 18 months after completion, which is set for 25 March. It has agreed to sell the sites to private propco PH21 Residential, run by Alan Bruner, on that date. PH21 will contemporaneously sub-sell each lot to the relevant auction buyer. Royal Mail will take new 18-month leases from the completion date, giving buyers a window to work up redevelopment plans.
The sites are among 90 lots listed for the February commercial sale, with 18 guided at £1m or more. More than a third are in London and the South East.
Other highlights include:
Lot 21: Kwik-Fit, Hampstead – let on a lease expiring in 2043, guided at £2.5m to £2.6m (6.6% GIY)
Lot 45: White Rose Shopping Centre, Rhyl – 108,919 sq ft, let at £573,251 pa, guided at £1.9m to £2m (30.7% GIY)
Lot 50: Arrow Industrial Estate, Willenhall, Walsall – a multi estate of 35,236 sq ft let at £157,166 pa, guided at £1.55m to £1.65m (10.14% GIY).
Photo © Allsop
