This is significantly less than build cost and considered below VP value.
The property is currently fully-let to Atos IT Services UK Limited, the world’s third largest managed IT security services provider at a passing rent of £579,750 per annum (£14.88 per sq. ft.) with a lease expiry in April 2023.
This is an opportunistic play at the higher end of the risk curve which reflects the entry pricing and initial yield. However, this pricing does provide us with the flexibility to deliver a good outcome for our investors.