West End properties with “rare” planning consent acquired for £40m

A set of three adjoining properties in London’s West End have been acquired for £40m by Melford Capital Partners.

The sites contain a variety of commercial uses, including a theatre, retail and gallery space, offices, and education facilities.

The properties at 5-9 Great Newport Street comprise 44,725 sq ft of space and benefit from “rare” planning consent, said Savills, who completed the sale on behalf of Consolidated Development.

Consented proposals detail the delivery of a 322-seat theatre, a 66-room hotel with a rooftop bar and pool, as well as restaurant, bar and gallery space.

Situated within the West End, the properties are surrounded by a number of famous theatres, restaurants and shopping destinations.

Joshua O’Rourke, associate in the hotel capital markets team at Savills, said: “We’re delighted to complete the sale of this prime site in one of London’s strongest leisure destinations. The transaction shows that in spite of recent economic headwinds, investor appetite remains strong for freehold Hotel development opportunities in Central London.”

Savills acted jointly with Hanover Green LLP on the transaction.