M&G Investments is a leading investment manager in the UK and overseas. They have been an active manager of investments for individual and institutional clients for over 80 years and now manage over £253 billion in equities, multi-asset, fixed income, real estate and cash for clients across Europe and Asia. As of today, M&G Real Estate, on behalf of its property portfolio fund has purchased Aliffe House in Aldgate, London.
The freehold interest of 61,000 sq. ft. of office space was purchased from a private Middle Eastern investor for £36.7 million which reflects a net initial yield of 6%. Aliffe House is let to let to National Westminster Bank (RBS) for another 7 years at a rent of £2.3 million per annum. Until recently the building was partially occupied by World Pay whose headquarters are now the Walbrook Building. Aliffe House was last sold by Receivers in 2010 for £32 million which reflects a net initial yield of 6.86%.
Sungard an American multinational company who provide software and services to education, financial services, and public sector organisations, have now taken on a sublease from RBS for the entire 61,000 sq. ft.
Oliver Salter from Morgan Pryce says, “the fact the building is fully let for the next seven years means it is a significant asset to hold and will provide many asset management opportunities in medium term due to the steady income it provides,” similar points were echoed by Fiona Rowley, fund manager at M&G along with many others who have recognised its value.
This news was brought to you by Morgan Pryce, a specialist tenant acquisition agent with offices in Oxford Circus and the City. Morgan Pryce specialises in search, negotiation and project management and works exclusively for tenants.
