WELPUT sells One Chapel Place, W1, for £58.5 million
WELPUT has exchanged unconditional contracts to sell the freehold interest in One Chapel Place, London W1, to a private investor for £58.5 million.
WELPUTi, a specialist fund investing in Central London offices, managed by Schroders and advised by Quintain Estates and Development plc, has exchanged unconditional contracts to sell the freehold interest in One Chapel Place, London W1, to a private investor for £58.5 million, reflecting a net initial yield of 3.6% and a capital value of £1,709 per sq ft.
Originally acquired in 2010 for £22 million, a comprehensive refurbishment of the 34,000 sq ft West End office building was completed in late 2012, on expiry of short term leases. The property has since been re-let on a floor-by-floor basis to tenants including CoStar, Carter Jonas, and Johnson & Johnson at rents ranging from £72.50 per sq ft to £84.00 per sq ft. The restaurant accommodation on the ground floor is let to Goodman for their Beast restaurant concept.
Nigel J. Kempner of Quintain Estates and Development plc, Property Adviser to the Trust, commented:
"Having concluded the refurbishment and fully let Chapel Place, we took the decision to put the asset on the market to capitalise on the unprecedented levels of international investor appetite looking for a home in the West End. We remain extremely positive about the prospects for growth in Central London and will continue to look to make further investments to capitalise on the short and medium term opportunity in the market.”
Nick Montgomery of Schroder Real Estate added:
“This is a further example of WELPUT crystallising a strong return following the successful implementation of the property strategy.”
WELPUT was represented by CBRE and Strutt & Parker.
For further information, please contact:
Estelle Bibby, Schroders
+44 (0)20 7658 3431 / firstname.lastname@example.org
Dido Laurimore / Ellie Sweeney, FTI Consulting on behalf of WELPUT
+44 (0)20 3727 1000
Notes to editors:
For trade press only. To view the latest press releases from Schroders go to: http://ir.schroders.com/media
West End of London Property Unit Trust (WELPUT) was established in 2001 as a closed ended property unit trust under the laws of Jersey. WELPUT was converted to a more open ended structure in 2014 with the approval of its Holders. The aim of WELPUT is to provide investors with an exposure to the central London office market. The objective is to outperform the market as measured by Investment Property Databank (IPD).
The primary investment focus is office properties in central London. Due to the nature of properties within central London there will be elements of other uses such as retail and residential. The intention is to focus the portfolio on large multi-let buildings. WELPUT is reserved for experienced investors who must be aware of the risks attaching to the investment.
The manager of WELPUT is Schroder Property Managers (Jersey) Limited, one of the largest managers of Jersey Property Unit Trusts, covering various sectors of the UK market.
Quintain Estates and Development plc is the property adviser to WELPUT having acquired Grafton Advisors (2006) LLP, a partnership formed by the former senior management of Benchmark Group PLC who founded WELPUT in 2001.
Schroder Real Estate
Schroders has managed real estate funds since 1971 and currently has £11.5 (€14.8 /US$18.7) billion of gross real estate assets under management as at 30 September 2014.
Most of the real estate funds referred to are unauthorised collective investment schemes as defined in the Financial Services and Markets Act 2000. Promotion of these funds is restricted and access to full information about these funds is only available to those exempt from the restriction.
For further information about Schroders’ real estate business visit www.schroderproperty.com
Schroders is a global asset management company with £276.2 billion (EUR354.4 billion/$447.7 billion) under management as at 30 September 2014. Our clients are major financial institutions including pension funds, banks and insurance companies, local and public authorities, governments, charities, high net worth individuals and retail investors.
With one of the largest networks of offices of any dedicated asset management company, we operate from 37 offices in 27 countries across Europe, the Americas, Asia and the Middle East. Schroders has developed under stable ownership for over 200 years and long-term thinking governs our approach to investing, building client relationships and growing our business.
Further information about Schroders can be found at www.schroders.com.
Issued by Schroder Property Investment Management Limited which is authorised and regulated by the Financial Conduct Authority. For regular updates by e-mail please register online at www.schroders.com for our alerting service.
i West End of London Property Unit Trust (WELPUT)