Manchester’s former Bank of England on market for £30m

Columbia Threadneedle is looking for a buyer for the freehold of the fully let 82 King Street.

The Manchester building offers 81,800 sq ft of office and retail space. Agent Metis is accepting offers starting at £30m, a price that would reflect a net initial yield of 7.2%.

A mix of old and new, 82 King Street incorporates the former Bank of England in its structure. The old bank includes a 2,800 sq ft entrance hall to the 1990s office tower. The 14-storey office block boasts flexible floor plates of 6,000 sq ft.

There are also 33 car parking spaces in the basement, which are rented out for £3,500 a year.

Current tenants in the building include Lloyds Bank, Channel 4, N M Rothchild & Sons, and Zeus Capital. The current net rent is £2.3m a year, which equates to £26.35/sq ft. This presents a potential growth opportunity, as the Manchester market can support headline rents of £40/sq ft for prime locations.

Manchester’s office agents are optimistic that 2024 will be an even stronger year for the market compared to 2023, which saw 946,000 sq ft of deals take place.