Helical has completed the sale of the freehold interest in its historic Power House in Chiswick, W4, to Riverside Capital for £7m, representing a net initial yield of 7.3%.
The 48,000 sq ft property is leased to Metropolis Studios for another 19 years, generating an annual rent of £548,054.
The lease includes an inflation-linked rent review due in November 2026, with further reviews every five years after.
The Power House has operated as recording studios for more than three decades, hosting artists such as The Rolling Stones, Elton John, Queen, George Michael, Amy Winehouse, Adele and Mark Ronson.
Power House, which was built as an electricity station in 1901, also includes 19 flats, which have been sold under long leases.
Matthew Bonning Snook, chief executive at Helical, said: “This sale is a further step forward in our plan to recycle capital into higher-returning development opportunities in the London market.”
Dominic Wright, chief executive at Riverside Capital, added: “This marks our first deal in two years and the beginning of an acquisition programme. The Power House is an exciting piece of cultural history and it’s a privilege to be the current custodian of this fine London institution.”
Cyril Leonard and Mishcon de Reya advised Helical and Riverside Capital was represented by Laytons.
Image from Helical
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