Sold

Drury House, 34-43 Russell Street, Covent Garden, London, WC2

Drury House, 34-43 Russell Street, Covent Garden, London, WC2

Offers in excess of £42,250,000

Property Type:
Commercial
Tenure:
Freehold
Net Initial Yield:
4.52%
Site Area:
36,322 sq.ft [3,374 sq.m]

Description

  • Freehold Covent Garden island site investment opportunity.
  • Prominent location on the corner of Russell Street and Drury Lane.
  • Mixed-use building extending to a total of 36,322 sq ft (3,374.4 sq m) of office and retail accommodation arranged over lower ground, ground and five upper floors.
  • Multi-let to three tenants – Wardour Communications, Beamly and fashionable restaurant by CHLOE.
  • All four leases are Outside the 1954 Landlord & Tenant Act.
  • Weighted Average Unexpired Lease Term of 6.8 years to lease expiry on let space.
  • Potential office block date during 2021 provides the opportunity to refurbish / extend the existing accommodation (subject to consents).
  • Total current rental income of £2,040,460 per annum (including vendor rental top-ups).
  • Low passing office rent of approximately £60 psf (including vendor rental top-ups), equating to circa 70% of Grade A Covent Garden rental levels that stand at £85 psf.

Offers are invited in excess of £42,250,000 subject to contract and exclusive of VAT.  Pricing at this level reflects a net initial yield of 4.52% (assuming full purchaser’s costs of 6.78%) and a capital value of £1,163 per sq ft.