Great Portland Estates picks up Whitechapel site
Great Portland Estates has bought a Whitechapel, E1, development site from Hermes Investment Management for £49.6m.
The 1.1 acre site sits between Aldgate to the west and the new Whitechapel Crossrail Station to the east and comprises the freeholds of Cityside House at 40 Adler Street and Challenger House at 42 Adler Street and 2-8 Whitechapel Road, E1, as well as development land.
Cityside House is a 54,300 sq ft vacant office building with consent for three additional floors, taking it to 76,500 sq ft with a capital value of £250 per sq ft.
Great Portland Estates has bought a Whitechapel, E1, development site from Hermes Investment Management for £49.6m.
The 1.1 acre site sits between Aldgate to the west and the new Whitechapel Crossrail Station to the east and comprises the freeholds of Cityside House at 40 Adler Street and Challenger House at 42 Adler Street and 2-8 Whitechapel Road, E1, as well as development land.
Cityside House is a 54,300 sq ft vacant office building with consent for three additional floors, taking it to 76,500 sq ft with a capital value of £250 per sq ft.
GPE expects to refurbish the building during the second half of 2019, targeting an average rent of £47 per sq ft.
Challenger House is a five-storey, 171-bedroom hotel, leased to Qbic Hotels for a further 21 years at a rent of £1.4m pa with CPI-linked five yearly reviews, capped at 2% to 4% pa.
Development land to the rear of Cityside House has consent for 19,000 sq ft of development, comprising hotel and residential uses. GPE intends to improve the existing consent to create amenity space for the occupiers of Cityside House.
Robin Matthews, investment director at GPE, said: “This acquisition represents an opportunity for us to develop an office building in the heart of Whitechapel, supported by a long-term income stream from Qbic Hotels, and further development sites. In addition, Whitechapel is set to benefit from further regeneration, including its new Crossrail station, which will open in late 2018.
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