M&G Real Estate has withdrawn from sale 247 Tottenham Court Road, W1, and instead brought in development manager CO-RE to deliver a redevelopment of the freehold site.
M&G had instructed Knight Frank in January to find a buyer, putting a circa £90m price tag on the 80,000 sq ft freehold property, which will become vacant in September.
It was originally acquired by Prudential Assurance Company in 1998 for £23.5m from the Peninsular and Oriental Steam Navigation Company, according to Radius Data Exchange.
M&G said that it had withdrawn the property as it saw an opportunity to redevelop it itself and through this redevelopment it was looking to maximise the rental growth potential and deliver high quality, flexible office space.
Philip Vaughan, director of development and construction at M&G Real Estate, said: “Now is the right time to progress plans for this site to respond to the changing market and a shifting occupier profile in this part of London. With CO—RE now on board, we look forward to progressing our plans.”
David Ainsworth, chief executive of CO—RE, added: “247 Tottenham Court Road’s exceptional location and strong potential for providing a mix of high-end uses makes it the perfect site for redevelopment.”
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