X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

LONDON-Sir John Mactaggart and David King, whose Central & City Properties was one of the leading developers of the 1980s, have joined forces again to buy a 64,238 sf City of London investment. The Mactaggart Third Fund in partnership with David King, backed by Western Heritable Investment Company, has bought NPI’s long leasehold interest in 11 Old Jewry, London, EC2 for £16.5 million ($23.27 million).

The building is let on 16 separate leases producing an annual rent roll of £1.8 million ($2.54 million) averaging just £28.28 ($39.87) per sf. Tenants include Allied Irish Bank, Citibank, Eden Group and Angela Mortimer. The headlease, which is held from the Grocers Company, expires in June 2032.

The price reflects a net initial yield of 10.8% but Mactaggart and King plan to improve this by refurbishing office suites as they come available, increasing rents to a projected £45.00 ($63.45) per sf. Smiths Gore Commercial advised the purchasers. Henderson Global Investors, Insignia Richard Ellis and NAI Gooch Webster advised NPI.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.