The property offered good secure income with numerous asset management opportunities as the tenant was not in occupation.
FINANCIALS
| Purchased for £13.25m |
| Surrender of lease completed for a significant reverse premium to the Landlord. |
| Sold with Vacant possession in November 2012. |
| IRR achieved on sale of 79.5% pa from purchase. |
KEY ACHIEVEMENTS
- Agreed the outstanding rent review with the freeholder securing a reduction in rent payable under the Headlease.
- Secured planning consent for a 138 bed hotel in December 2011.
- Concluded a pre-letting to a PLC hotel operator in October 2011. Ultimately not completed.
- Agreed a surrender with BT (the tenant), retaining the ground floor retail sub-tenants, in return for a substantial reverse premium.
- Agreed a purchase of the freehold interest for £13m.
- Simultaneous with the surrender of the lease and purchase of the freehold, sold the Investment to Ennismore Capital for a Hoxton Hotel in November 2012.
