Helical has completed the sale of its 50% interest The JJ Mack Building in London to its joint venture partner AshbyCapital for £71.4m.
The 10-storey building completed in 2022 and comprises 200,611 sq ft of offices, 9,172 sq ft of terrace space and 5,474 sq ft of ground floor retail space.
At the sale date, the building generated contracted rent of £17.4m – Helical’s share was £8.7m – and was 90% let to six office tenants, including Sainsbury’s and Partners Group.
Helical said the proceeds of the sale would be used to fund the company’s development pipeline.
Matthew Bonning-Snook, chief executive of Helical, said: “The JJ Mack Building is truly a ‘best-in-class’ office building, demonstrated by the rents we have achieved being significantly ahead of competing buildings in its sub-market. This sale is very material to Helical as it releases sufficient cash to ensure that the equity requirements of our entire exciting development pipeline, totalling over 685,000 sq ft of offices, and a 429 unit purpose-build student accommodation scheme, are now fully funded. We are already making good progress in delivering this, with construction underway on three new office schemes (100 New Bridge Street EC4, Brettenham House WC2 and 10 King William Street EC4) and plans are progressing at our future development projects at Paddington and Southwark.
“The JJ Mack Building was purchased and developed with AshbyCapital, adding to Helical’s extensive and successful track record of working in partnership, and we would like thank Peter and his team for all their support throughout. We will continue to recycle our portfolio, as market conditions allow, as we seek to grow the current pipeline whilst focusing our near term attention on the delivering best-in-class space into a supply constrained 2026 market.”
Peter Ferrari, chief executive of AshbyCapital, added: “We are delighted to have completed the purchase of our partner’s 50% share in The JJ Mack Building to add another market leading office asset to our uniquely high quality long term central London portfolio. With only one 20,000 sq ft floor remaining to let, the transaction marks the conclusion of this highly successful partnership with Helical and we look forward to further joint projects in the future.”
