The estate provides 53,000 sf of accommodation in three buildings on 3.47 acres. It is let to Scottish Media and Scottish Life Assurance Co, and produces an annual rent of £218,500 ($316,825), which represents a yield of 4.1% on the cash consideration of £5.3 million ($7.7 million).
The reason that the price was substantially in excess of book value is that the estate provides a medium term opportunity for residential development.
Subsequent to the disposal, Merivale Moore's portfolio will comprise, by value, approximately 65% central London offices, 25% industrials and 10% retail/residential.
Jeff Hobby, director of industrial property at Merivale Moore, said: 'The proceeds of this sale will increase our firepower for investment in South East industrials, where we are continuing to generate an attractive mixture of both capital appreciation and income'.
Jones Lang La Salle advised Merivale Moore. Ashfield Land was advised by Fuller Peiser.
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