GPE acquires freehold interest in London office and retail asset

Great Portland Estates (GPE) has expanded its West End portfolio by acquiring a new 155-year long leasehold interest in 10 South Crescent, WC1, from the City of London Corporation for £51 mln (€59.8 mln).

10 South Crescent, WC1 - GPE

This acquisition, reflecting £7,621 per m2 (€8,944 per m2) on the current net internal area, offers a net yield of 6.8% (net of top-up) and a projected running yield of 7.1% once the currently vacant retail unit is let.
The 6,745 m2 building is slated for repositioning into a premier, decarbonised headquarters office and retail space. Plans include premium amenities and expanded roof terraces. The offices are currently single-let for another four years at a significantly under-market rent of £721 per m2 (€846 per m2), with recent comparable lettings in the area achieving over £1,345 per m2 (€1,579 per m2).
Situated just minutes from Tottenham Court Road's Elizabeth line station, 10 South Crescent integrates into GPE's existing cluster of properties around Alfred Place. This area offers a high-quality blend of Grade A HQ and fully managed office spaces within a vibrant, amenity-rich West End location.
Harry Buxton, investment manager at GPE, commented: “10 South Crescent is a valuable addition to our central London portfolio and further demonstrates our ability to find value in our core West End markets. Since our 2024 rights issue, we have now acquired six West End repositioning opportunities with an estimated capital commitment of circa £440 mln (€516 mln) and at a combined discount to replacement cost of some 60%.”