Spelthorne Council is to buy 12 Hammersmith Grove from Aberdeen Asset Management it is reported.
The building, developed by U+I with backing from Aberdeen and completed in 2016, is currently almost fully let to tenants including WeWork, Creative Artists Agency, Perform Media Services and Medidata. Spelthorne Council is paying a £170m for the 167,000 sq ft 11 storey office building.
Cllr Ian Harvey, Leader of Spelthorne Borough Council, said:”I cannot stress enough that this is extremely good news for residents as it means we can continue to avoid making cuts to services that residents rely on us to provide for them. I would also like to assure residents that in pursuing this innovative strategy, we have carefully assessed the proposition to satisfy ourselves of its prudence. We are delighted with this investment and the income it will generate to protect Borough services and, in some cases, help reduce the knock-on effect of County cuts. Aberdeen Standard Investments has been a pleasure to deal with.”
Elaine McCann, Associate Asset Manager (Aberdeen Standard Investments), said “We are delighted with the sale of 12 Hammersmith Grove following an intense but very successful letting programme. The scheme has attracted global tenants CAA, We Work, Perform, Medidata and Research Instruments which confirms the quality of the product the team produced. The building and leasing terms have set a new benchmark for offices in Hammersmith bringing West End quality to this market. The sale concludes a very successful partnership with our partners U+I and Transport for London and we wish the Council well with their new investment”.
The acquisition follows others in West London by Spelthorne Council, including the BP International Campus, World Business Centre 4 at Heathrow, and a property at Stockley Park.
The council are trying to build income streams to offset cuts in central government funding.