£40m deal for Salford HMRC office
A NEW York-based real estate investment trust (REIT) has bought a Government office in Salford in a £40m sale and leaseback deal.
WP Carey said it had bought the 200,000 sq ft Trinity Bridge House, located next to the Lowry Hotel on the River Irwell, which is occupied by the Department for Communities and Local Government.
The facility is leased to the DCLG on a 15-year, triple-net lease and is used by HM Revenue & Customs. It has consolidated its staff from several locations into the building, which now accommodates 2,000 employees.
Jennifer Lucas, Director of WP Carey, said: “The transaction demonstrates WP Carey’s ability to source and complete attractive deals in key European markets. The UK is the second largest European economy and has an AAA-rating. Together with a Government lessee, we believe we have secured a strong, long-term tenant.
“The recent staff consolidation into the facility demonstrates that this is an important location for HMRC and supports our proven business model of acquiring key operating assets let to single tenants on long-term net-leases.”
Trinity Bridge House was financed and constructed by London & Regional Properties in 1998 in partnership with the Government under the private finance initiative (PFI).
