LGIM takes One Portland Street to market
Represented by Savills, Legal & General Investment Management Real Assets has put the central Manchester commercial asset up for sale with a guide price in excess of £20m, reflecting a net initial yield of 6%.
The building, which sits at the junction with Piccadilly across from One Piccadilly Gardens, offers 59,201 sq ft of office and retail accommodation arranged over basement, ground and six upper floors.
At present around 90% of the building is occupied, with tenants including Building Blocks, Gear4music, Tesco and Costa with a total net income of £1.32m a year.
One Portland Street was historically occupied by BT and was formerly owned by Bruntwood, which carried out a substantial redevelopment in 2005 that saw the original 1970s building stripped back to the core and revamped with floor-to-ceiling glazing introduced.
Bruntwood sold the asset in 2013, reaping £16.6m in a sale to Bishopsgate Long Term Property Unit Trust.
Oliver Foster, investment director at Savills, said: “One Portland Street is strategically situated in the heart of the city centre, adjacent to the vibrant Northern Quarter and within walking distance of Manchester Piccadilly railway station.
“The property offers well configured and flexible floor plates with high quality office accommodation at a discount to prime Grade A rents. With excellent reversionary prospects and a real growth story on the location, we anticipate high levels of market interest.”