Great Portland Estates (GPE) has acquired the freehold interest in the One Chapel Place office building in London’s West End from CC Land.
GPE said that the total cash consideration for the 34,230 sq ft building was based on a property valuation of £56m subject to further balance sheet adjustment post completion.
The building, which sits next to the Grade I listed St Peter’s Church, is fully let at an annual rent of circa £2.5m per annum with the office leases due to expire in mid-2028.
One Chapel Place presents a significant opportunity for additional massing, with existing plans targeting an expansion to approximately 57,000 sq ft. GPE intends to refine the existing designs to enhance the quality of the workspace and upgrade the building’s amenities.
Alexa Baden-Powell, senior investment manager at GPE, said: “One Chapel Place meets all of our acquisition criteria. This is a freehold asset, in a prime Bond Street location, with significant massing potential, and provides a rare opportunity to create a best-in-class, premium HQ office building with excellent sustainability credentials in a location that is starved of high quality supply.
“Together with the recent purchases of The Courtyard, W1, Whittington House and 19/23 Wells Street, we have now invested £162m into West End acquisitions since our rights issue last summer, or £323m including the capex we intend to invest in the buildings.”
