THE LARGEST ever transaction for offices in Edinburgh has been set after a property was sold for more than £100 million.
The Scottish Widows Headquarters at Port Hamilton in Edinburgh was sold for around £105 million, making it the largest ever office transaction in Edinburgh.
The 271,637 square feet building is located in Edinburgh’s Exchange District, the city’s prime office core and has been used as the Scottish Widows Headquarters since 1997.
The Grade A, Port Hamilton, building is located in Edinburgh’s Exchange District, the city’s prime office core, and is instantly recognisable on the city’s skyline.
Port Hamilton is let in its entirety on a new full repairing and insuring lease to Lloyds Bank plc, the main trading company of Lloyds Banking Group.
The lease was set for a term of 25 years from the date of sale, subject to a tenant break option on the 15th anniversary. The rent is subject to an annual increase on each anniversary of the lease commencement at the fixed rate of 3.00% per annum.
A range of UK and international investors bid for Port Hamilton at the closing date with the eventual purchaser being an overseas based private client of HSBC Private Bank.
Alasdair Humphery, Lead Director of JLL Scotland, said: “Edinburgh has long marketed itself as a destination for overseas investment, and this sale truly underlines the City’s credentials.
“The combination of Edinburgh as an investment prospect, a truly HQ office building and the long secure income resulted in significant interest from global investors and enabled the completion of a quick sale.”