GPOR : Great Portland Estates sells 12/14 New Fetter Lane
Great Portland Estates is selling its leasehold interest in 12/14 New Fetter Lane (London EC4) for £165.8m. The sale price works out at a yield of 4.5%.
The 142,500 sq ft office building is still under construction (supposed to be finished in Q4 2015) and is fully pre-let to Bird & Bird (a law firm) for 20.25 years at an initial rent of £8.28m. Great Portland got the planning permission, regeared the head lease and pre-let the building and they reckon they’ll have made 82.7% profit on the scheme and an IRR of 55.1% assuming it all goes through.