British Airways Pensions is looking to sell its 80,495 sq ft Aberdeen and is seeking offers over £7m.
The building is currently 83% let to Canadian National Resources until 31 December 2030, with the option to extend until 31 December 2035.
The passing rent for the seven-storey office is £1,480,845 per annum, equating to £22.20 sq ft, potentially rising to £1,787,544 per annum upon the successful letting of the vacant first floor space.
The asking price reflects a net initial yield of 20% and a reversionary yield of 23.95% (after the first floor is let), assuming standard purchaser costs of 6.61%.
St Magnus House was constructed in 1984 and extensively refurbished and reclad in 2000. In 2020, CNR’s lease was re-structured, through which circa £3m was committed to the refurbishment of the building. A further £600,000 of landlord funded building enhancement works are being carried out as part of the latest lease restructuring.
Image © CBRE
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