Core London Office Asset Trades for $223M
- Jan 03, 2020
Northwood Investors has purchased Five Acre Square, a freehold office building in London’s urban core. According to Property Week, the asset changed hands for approximately $223 million. The 224,000-square-foot building was part of the Houndsditch Estate, a five-property portfolio that Madison International Realty has now fully exited. Despite the sale, Madison still has a large footprint in the European real estate market.
Located at 133 Houndsditch St. in one of London’s most coveted submarkets, Five Acre Square is within walking distance the Liverpool Street transport hub. Madison acquired the building in 2014 as part of a portfolio that also included Cutlers Court, 117-119 Houndsditch, 120 Houndsditch and Cutlers Exchange.
The sale of Five Acre Square follows the completion of a capital improvement plan at the building. Together with partner Nuveen, the former owner repositioned the property as an institutional quality asset through the renovation of the lobby and public areas. Updates also included the addition of bike storage, lockers and showers. Moreover, the previously vacant fourth and fifth floors were occupied, bringing the 1991-built property to full occupancy.
According to Madison’s London Office Managing Director Alex Lukesch, the asset presents a medium-term development opportunity to the buyer. CBRE advised the seller in the deal, while JLL worked on behalf of Northwood Investors.