Norwegian sovereign wealth fund Norges Bank Investment Management has been selected to purchase the West One shopping centre above Bond Street Underground station, W1.
Norges has fought off competition from Thor Equities to buy the property from Orchard Street Investment Management and is now close to agreeing terms with a bid of around £245m. The purchase price represents a 3.4% yield.
The three-level centre at 381 Oxford Street, W1, sits on a 0.75-acre site comprising 47,000 sq ft of shops and 44,500 sq ft of offices.
Meyer Bergman and Great Portland Estates are also understood to have been attracted by the property.
It is let to tenants including the Toy Store, McDonald’s, Boots and Marks & Spencer.
A buyer is expected to carry out a floor-by-floor refurbishment to capitalise on the opening of Crossrail in 2018.
JLL advised the vendor; CBRE acted for Norges.
Norges has been an active investor in the West End and earlier this year completed a £190m purchase of the 74,573 sq ft Queensberry House, W1.
Norges declined to comment.
