Commercial People has learned that three landmark office buildings in Bristol’s Temple Quarter have been sold in a multi-million-pound deal to Legal & General.
The Quayside offices which comprise of DAS House, North Quay House and South Quay House, were sold by DAS and ERGO for £27.75m.
Matt Jarvis, Senior Fund Manager of the UK Property Fund at Legal & General, said: “This is an excellent buy for the Fund. The Bristol office market is currently undersupplied and has strong rental growth prospects as a result of this undersupply.
The building also benefits from flexible floor plates which are in demand in the City. The combination of these strong property fundamentals and good micro-location will make this a strong performing asset for our investors as we refurbish and upgrade them over time.
We have recently undertaken a similar exercise at The Landing in Redcliff Quay and have been very pleased with the level of tenant interest for modern, stylish, well-connected assets in attractive city centre settings.”
Leading global real estate firm Cushman & Wakefield represented DAS and ERGO while Knight Frank acted on behalf of Legal & General.
Nick Allan, International Partner and Head of Capital Markets at Cushman & Wakefield in Bristol commented: “We are delighted to have secured the agreed exit strategy of Quayside Bristol on behalf of our clients DAS and ERGO. The property attracted an unprecedented amount of interest for an asset of this scale with over thirty investors expressing interest.
This underlines the attraction of Bristol from UK and International capital for active management opportunities, which has largely driven by the imbalance between tenant demand and the availability of quality working environments, which in turn is driving significant income returns.”