The London-based property firm owned by The Duke of Westminster, The Grosvenor Group, has sold office building 20 Grosvenor Street in London’s Mayfair for £96 million ($135.5 million; €120 million).
The firm said it sold the asset to a client of Luxembourg-based fund and asset management group Shaftesbury on a 125-year lease. Grosvenor said it intended to recycle the sale’s proceeds back into its long term London estate development pipeline which contains £1 billion of prospective property investments.
The property, originally built in 1725, is a redeveloped office and retail building which was let to KPMG in 2014 on a 15-year lease. In addition to 39,681 square feet of office space, the asset includes two retail units, comprising The Refinery barber and spa as well as a café. Grosvenor will retain the building’s freehold as part of its 300-acre London estate in Mayfair and Belgravia.
“The proceeds from 20 Grosvenor Street will help us continue to invest in our London estate, ensuring it both thrives and flourishes as a place to live, work and visit in the heart of London’s West End, “ said Craig McWilliam, executive director of the London estate at Grosvenor Britain & Ireland, part of Grosvenor.
London-based property agents Knight Frank advised on the deal.
The Grosvenor Group had £5.7 billion assets under management, as of 31 December 2015.
Shaftesbury, meanwhile, has platforms in Germany, France, Spain and Switzerland. The firm is seeking to acquire further real estate investments to a value in excess of a £800m in Spain, Portugal, France, Switzerland, Germany and the UK. It currently has assets under management exceeding £1.2bn.