Legal & General (L&G) has put The Spark office building in the Newcastle Helix development up for sale for £33.95m+, reflecting a net initial yield of 8%.
The 105,906 sq ft office building is currently fully occupied on a multi-let basis on reversionary rents with high potential for rental increases. The Spark, which was built in 2022 and is located in the city’s prime office district, has secured BREEAM Excellent, WiredScore Platinum and has EPC A ratings.
The building is powered by an on-site district energy centre – a centralised system that is forecast to save more than 30,000 tonnes of carbon emissions over the next 40 years.
Peter Atkinson, director in Savills’ Newcastle investment team, which has been appointed to market the opportunity, said: “This is one of the very best office buildings in Newcastle offering a hugely exciting opportunity for an investor. The strong demand combined with the relative lack of stock in the market and highly restricted development pipeline, means we’ll see both significant and imminent rental growth, as occupiers seek high quality office space.”
