UK Commercial Property REIT (UKCM) has sold the 67,000 sq ft 2 Rivergate office building in Temple Quay, Bristol, to Tri7 for £14.5m.
The office building is let to the secretary of state for Levelling Up, Housing & Communities until March 2025 and the sale price is in line with the building’s 31 December 2023 valuation.
Will Fulton, fund manager of UKCM at abrdn, said: “Although well located in Bristol, this property is close to the end of its economic life with a short lease left to run. Having worked on many options we believe this investment would most benefit from a significant injection of rejuvenation capital a process that necessitates an extended period of no income.”
Samuel Castle, partner at Tri7, added: “In line with our focus on town and city centre regeneration sites, 2 Rivergate in Bristol provides a compelling opportunity for our value-add strategy. Following soon after our purchase of the Portswood Shopping Centre in Southampton earlier this year, we continue to be on the acquisition trail across the country where our significant level of dry powder coupled with our expertise in unlocking value through asset management means we’re in a position to take on complex sites and deliver attractive returns.”
UKCM was advised by Joiner Cummings and Tri7 was advised by Kimmre.
