HB Reavis completes Shoreditch buy
17 April 2020
Major redevelopment play on the cards for City fringe scheme
What HB Reavis has bought Quick & Tower House for£63.5m
Why Potential to redevelop the site given the leases are due to expire in December
What next Plans in place for 135,000 sq ft scheme, although Reavis is expected to revisit the proposals
HB Reavis has completed its purchase of Quick & Tower House,a major redevelopment opportunity in Shoreditch.
The developer has paid a joint venture between HobartPartners and Bridges Fund Management around £63.5m for thesite at 67-73 Worship Street and 65 Clifton Street, EC2,reflecting a yield of 2.45% for the freehold assets, or £1,211 persq ft
The 54,000 sq ft two-building development is fully let to fourtenants until December 2020 paying a rent of £1.57m perannum or £30.18 per sq ft. The site has been sold with planningin place for a circa 135,000 sq ft Make-designed office scheme.The plans are for a 12-storey scheme, with nine floors aboveground.
However, HB Reavis may look to stamp its own brand on thedevelopment by working up fresh proposals for the site.
Hobart and Bridges bought Quick & Tower House fromAberdeen Standard Investments in October 2017 for just over£35m with plans to redevelop the buildings. The price reflecteda yield of just north of 4%.
Cushman & Wakeeld advised HB Reavis; BNP Paribas RealEstate acted for Bridges Fund Management and HobartPartners.