LONDON, June 14, 2017 /PRNewswire/ --
Real Assets (RA) Global Opportunity Fund 1 Limited, advised by Floreat Real Estate Limited ("FRE") has sold its freehold interest in One Park Lane, Hemel Hempstead to Bourne Leisure Limited for an undisclosed sum. The 99,000 sq ft town centre office building is let for a further 11.4 years to 4 tenants and is the headquarters of the Bourne Group. The quoting price of £19m reflected a net initial yield of 6.43%.
Commenting on the transaction Jonathan James (Investment Director) said "The sale of One Park Lane represents a compelling commercial return for the fund and underlines the depth of investor demand for well secured long-term income. This transaction enables us to recycle capital into value add opportunities in selected UK growth cities where we can drive performance through asset management."
"The sale follows a period of active asset management repositioning the asset into a secure, stable, long term income product. The sale creates excellent momentum for the Business". Greg Davison - Asset Manager - FRE.
Bourne Leisure occupies 80% of the building and the acquisition allows the Group to secure their future occupation of the building.
Montagu Evans acted for Floreat. Bourne Leisure was unrepresented.
SOURCE Floreat Real Estate