12 Nov 2013 07:00
12th November 2013
Development Securities acquires prominent Sevenoaks office building for £5.5 million
Development Securities today announces that it has acquired Tubs Hill House, a 64,800 sq. ft. office building in Sevenoaks, Kent, for £5.5 million, a 5.24 per cent yield, from administrators acting on behalf of Lloyds Banking Group. Whilst the current vacancy rate is 66 per cent, the office building presents a number of options for asset management and enhancement in order to maximise value. This may include change of use as one part of the building already benefits from an existing planning permission for hotel and residential redevelopment.
The 1960's development consists of two office towers, connected at ground level by a central reception area. The offices are in good condition having been refurbished on a rolling basis by the previous owner. Located 200 metres from Sevenoaks mainline train station and 300 metres from Sevenoaks town centre, Tubs Hill House is in a prime commuter location with direct trains connecting it into London in half an hour.
Michael Marx, Chief Executive, Development Securities said: "This is a very well-located office development offering a number of options for value enhancement. This is the fifth asset that we have acquired from administrators acting on behalf of Lloyds Banking Group, the most recent of which was the acquisition of a mixed-use development opportunity in Romford in July this year and before that, the Rock portfolio in October 2010. This latest acquisition supports our current focus of recycling an element of our equity into real estate opportunities where we can continue to add significant value."
For further information, please contact:
Lucy Grimble, Development Securities PLC
020 7828 4777