Bruntwood sells 1 New York St for £42m

DEVELOPER Bruntwood has sold its 1 New York Street office building in central Manchester to Invesco Real Estate for almost £42m.

1 New York St was Bruntwood’s first completely new-build office scheme, but the firm said that it had taken the decision to sell the 110,000 sq ft building “to enable further growth and diversification” in its portfolio.

Chief executive Chris Oglesby said: “Bruntwood has grown through buying problem buildings from other companies and turning them into high quality investments.

“The difference in pricing between prime investment and those problem buildings has never been wider. This sale is a key part of our growth and diversification plans.

“We are actively looking at expanding our customer base in Manchester through significant new investment in the science and technology sectors, as well as seeking expansion opportunities in Birmingham and Leeds.”

He added: “We are pleased to be working with Invesco Real Estate on this transaction. They are focused on the customer and provide high levels of customer service.”

Toby Simon, director of Fund Management from Invesco Real Estate, said: “The property complements our fund profile well by focusing on strong real estate fundamentals from high quality buildings in core locations.”

Tenants at 1 New York St include Aedas, law firms George Davies and Mills & Reeve, and corporate financiers DC Advisory Partners.

WHR Property Consultants acted on behalf of Invesco Real Estate and Jones Lang LaSalle advised Bruntwood.