Derwent London plc (LON:DLN) has announced that it has exchanged contracts for the disposal of 80-85 Tottenham Court Road W1 for £32.6m (before costs), reflecting a capital value of £755 psf. The sale is at a premium to June 2025 book value and is scheduled to complete in June 2026. The purchaser is a joint venture between Purestone Capital and BPS London, both private investors. The acquisition is the first for the newly formed value-add platform headed up by Rishi Khurana and Mahir Vachani.
The freehold property comprises 28,300 sq ft of offices across six floors plus four ground floor retail units, with a total floorspace of 43,300 sq ft. The current income is £1.7m.
Paul Williams, Chief Executive of Derwent London, said: “Investor demand for smaller value-add assets remains strong, which supports our disciplined approach to realising value. Proceeds will be recycled into other higher returning opportunities. These include our major on-site projects at Holden House W1 and Greencoat & Gordon House SW1, where we are confident in the strong rental growth outlook.”
