GPE expands West End portfolio with £51m office and retail block acquisition
Great Portland Estates (GPE) has acquired a new 155 year leasehold interest in London’s West End for a total consideration of £51m from the City of London Corporation.
Located at 10 South Crescent, WC1, the building will be repositioned to create a decarbonised office and retail building with amenities and an enlarged roof terrace.
Located minutes from Tottenham Court Road’s Elizabeth line station, 10 South Crescent joins an existing cluster of GPE buildings around Alfred Place which provide a mix of Grade A HQ and fully-managed space.
GPE said the purchase price reflects a net initial yield of 6.8%, and a projected running yield of 7.1% when the vacant retail unit is let.
Harry Buxton, investment manager at GPE, said: “10 South Crescent is a valuable addition to our central London portfolio and further demonstrates our ability to find value in our core West End markets. Since our 2024 rights issue, we have now acquired six West End repositioning opportunities with an estimated capital commitment of circa £440m and at a combined discount to replacement cost of some 60%.”