Frasers buys Cisco’s UK HQ for £135m
Frasers Property Holdings UK has bought US tech giant Cisco’s UK headquarters near Heathrow for £135m from Evans Randall.
The 541,886 sq ft three-building complex, known as Lakeshore, 9-11 New Square, is part of the Bedfont Lakes office park and provides 272,000 sq ft of office space. Built in 2000, it is let to Cisco Systems until 2025.
Located in Feltham, west London, the complex was bought by Evans Randall in 2006 for £156m – a sub-4.75% yield – from Scottish Widows Investment Partnership.
Frasers Property Holdings UK has bought US tech giant Cisco’s UK headquarters near Heathrow for £135m from Evans Randall.
The 541,886 sq ft three-building complex, known as Lakeshore, 9-11 New Square, is part of the Bedfont Lakes office park and provides 272,000 sq ft of office space. Built in 2000, it is let to Cisco Systems until 2025.
Located in Feltham, west London, the complex was bought by Evans Randall in 2006 for £156m – a sub-4.75% yield – from Scottish Widows Investment Partnership.
Ilaria del Beato, chief executive at Frasers Property UK, said: “Lakeshore is a quality investment opportunity that reflects our long-term strategy to grow our commercial and residential assets in the UK including selectively growing our portfolio of business parks. The property enables us to extend from the Thames Valley into west London, benefiting from the strong recurring income of a high-calibre, multinational occupier.
“We believe in the potential of the UK business parks sector and are committed to investing in the business communities at all our business parks, to create environments where people and enterprise can flourish. We look forward to working with the business community at Lakeshore and exploring ways to enhance the services and facilities.”
A spokesperson at Evans Randall Investors, added: “With its proximity to Heathrow, Lakeshore continues to benefit from good asset fundamentals alongside long-term occupational income. However, after 14 years in our ownership and in line with our current investment strategy, it is the right time in the cycle to exit and allow another investor to take the investment forward.”
Frasers Property Holdings UK is an indirect subsidiary of Singapore’s Frasers Property. It has been growing its portfolio of office parks since 2017 and now owns 3.2m sq ft of assets in the Thames Valley area, including Winnersh Triangle, Chineham Park, Farnborough Business Park, Watchmoor Business Park and Maxis in Bracknell.
DTRE, Ernst and Young, Stephenson Harwood and Paragon Building Consultancy advised Frasers on the deal. Evans Randall Investors was advised by BNP Paribas Real Estate and Paul Hastings.
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