City centre office block sold for £16.1m
A REFURBISHED office block in Manchester city centre has been sold for £16.1m.
The deal for 35 Fountain Street was brokered by CBRE alongside OBI property. The sale price reflects a net initial yield of 5.5%. CBREGI was represented by Whitaker Horton.
35 Foundtain Street has undergone a comprehensive refurbishment to create a unique headquarter office building totalling 50,652 sq ft, designed to offer the best tenant amenity in the city centre.
It comprises a new fully glazed entrance frontage and reception, modern tenant hub, 110 cycle racks and fully refurbished office space.
Travel Jigsaw has recently acquired a lease over five of the six available floors at rents ranging from £19.50 to £22.50 psf by way of a five year lease, with one available floor remaining.
The building occupies a key location within the city centre, just off Market Street and King Street, close to Piccadilly train station and the Mosley Street Metro Link Station. Occupiers benefit from a host of surrounding retail, restaurant and leisure options in addition to the broad range of on-site facilities.
Director for Capital Markets at CBRE’s Manchester office Will Kennon said:
“We are delighted to have successfully represented IVG in securing the initial 40,000 sq ft letting to Travel Jigsaw and then executing the investment sale to CBREGI following an off market approach.
“The sale signifies continued strong investor appetite for well positioned Manchester CBD office investments offering strong rental growth prospects.”
The revamp was designed by 5plus architects.
