29 March 2022
Bradda Capital, the UK real estate investment adviser, has acquired a prime office building in Guildford town centre from Abrdn for £12.8 million, reflecting a net initial yield of 6.75%.
The building, 31 Chertsey Street, is a 29,345 sq ft, three-storey, highly specified office building with a basement car park. It was extensively refurbished by Bell Hammer in 2014 to a BREEAM rating of ‘Very Good’ and an EPC rating of ‘B’. It is multi-let to three tenants, BDO, Penningtons Manches Cooper and Eagle Eye Solutions, at an average rent of £31.39/sq ft with a weighted average unexpired lease term of 3.3 years.
31 Chertsey Street is located in the centre of Guildford close to both Guildford and London Road railway stations and the high street. Guildford is an affluent town and one of the south east’s best office centres, attracting international and national occupiers and known for being a strong legal and gaming cluster and a growing market for life sciences.
Bradda was advised by Knight Frank and Abrdn was advised by Joiner Cummings.
David Phillips, managing director of Bradda Capital, said: “31 Chertsey Street is a great addition to the fund and reflects our confidence in the long-term future of offices. It is a Grade A building with secure income in a very strong location with a constrained land supply and a lack of high-quality office space. It is also future proofed with good sustainability credentials, which we expect to improve in due course in line with our investment strategy”.
Bradda is acquiring 31 Chertsey Street for its latest fund, which was launched in 2020. The acquisition will be refinanced within an existing £28.3 million facility from Barclays Bank.
Robin Nixon, Relationship Director at Barclays Corporate Banking, said: “This is the sixth transaction we have financed with Bradda Capital, and are pleased to be supporting the new fund’s portfolio whilst also underlining our ongoing commitment to the UK real estate sector”.
R FURTHER INFORMATION:
FOR FURTHER INFORMATION:
David Phillips 01444 472530
Tavistock (PR adviser)
James Whitmore 0207 920 3150
NOTES TO EDITORS:
Founded in 2018, Bradda Capital, and its predecessor, Commercial Management Ltd, have sourced and assisted with structured investment and financing of UK commercial real estate on behalf of the same investors for more than 30 years. They have created several institutional-size portfolios of London and regional offices, shopping centres, warehouses and elderly care, the latter consisting of the Retirement Villages Group, which was sold to AXA IM - Real Assets in 2017.