The West End of London Property Unit Trust (WELPUT) has been the owner of 3 James’s Square since it acquired the premise in 2012. Recently, WELPUT has sold the building to Joint Treasure, Hong Kong-based firm for almost double the £66m it paid for the property in 2012.
Joint Treasure has made a formal offer to purchase the office building for around the £133m price that has been demanded, indicating a yield of less than 4%.
WELPUT had bought the premise at St James’s Square from Aberdeen Asset Management for £66m in June 2012.
Since then it has carried out major refurbishment works and re-let the office space at higher rents.
At the time of the 2012 acquisition, the entire building was fully let until 2014 to Winchester House Property Company, a subsidiary of Diageo, for a rent that equated to £57.82/ sq ft.
Last year, WELPUT said rents of up to £160/sq ft have been achieved on the best space in the building and a guide of £110/sq ft has been placed on the remainder. At the time, WELPUT had secured a series of lettings at 3 St James’s Square, bringing the building to 50% occupancy. It had been re-let at much higher rents to a range of tenants including hedge funds, family offices and international developers from France, Italy, Switzerland and India.