AXA IM-Real Assets, Gingko Tree Investment and South Korea’s Hanwha Group, have instructed agents to prepare the sale of Ropemaker Place, EC2, for more than £700m.
JLL and Eastdil Secured have been appointed by the joint owners to advise on the sale of the 578,000 sq ft office building at 25 Ropemaker Street, EC2. The building is expected to be formally launched in January. The sale price reflects a net initial yield of circa 4.25%.
The consortium acquired the building, of which they each own one third, from British Land in 2013 for £472m – a net initial yield of 5%.
Tenants include Bank of Tokyo, Liberum Capital and Macquarie Bank.
It is understood a sale would represent the first UK exit for Chinese state-owned fund Gingko since it was incorporated as a UK company in 2009, quietly amassing a portfolio of more than £2bn.
There appears to be little sign of a slowdown in large lots sizes coming up for sale in the City since a £6bn wave of offices were launched in September. Assets expected to be formally marketed in the New Year also include a 50% stake in Brookfield Property Partners’ 100 Bishopsgate, EC2, for £700m – a net initial yield of 4%.
Savills predicts that the total volume of commercial property transactions in central London during 2017 will exceed £20bn and could end the year higher than the previous record level set in 2014 of £21.6bn.
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