The Standard Life subsidiary, Ignis Property, has paid £30m for two prestige office and residential buildings at the heart of London’s Southbank regeneration scheme.
Sold by the trustees of the SE10NE Co-ownership — a special purpose vehicle holding the ownership to several properties in the area — the Ignis UK Property Fund now has a commercial and residential foothold in the capital’s biggest redevelopment scheme.
Situated on an island site, One America Street is a seven-storey 35,611 sq ft property containing both warehouse and office space let to tp Bennet, one of the largest and most successful architectural practices in the UK. Its lease expires in 2025.
The second building, at 29 Great Guildford Street, includes almost 5,000 sq ft of part ground and first floor Grade A office space let to Healthcare, the social care and care home provider until 2019. The upper floors contain 22 residential apartments, all let on long leases to private individuals.
“We are delighted to have secured this well let and highly attractive asset in what is becoming an increasingly desirable sector of the London office market for both tenants and investors,” commented fund manager, George Shaw.
Last summer, Ignis Asset Management — a top-15 UK investment company with assets worth £61.4bn — was taken over Standard Life Investments (Holdings) Limited.
In a recent statement its chief executive office, Keith Skeoch, said: “The acquisition of Ignis Asset Management is another step in Standard Life Investments’ growth story, deepening our investment capabilities, broadening our third party client base and strengthening our strategic position.
“Our robust and repeatable investment process, combined with the intellectual capital that underpins our investment capabilities, gives us confidence that we will continue to produce strong fund performance and deliver outcome oriented client solutions in the future.”
Prior to its Southbank purchase, the Ignis property fund’s top five holdings were: Leamington Shopping Park in Warwickshire, in which it has a 6.6 per cent stake; 77-80 Gracechurch Street, London, with a four per cent stake; Royal Avenue House, 35-41 Kings Road, London, with a 3.7 per cent holding; Sainsbury’s Cornard Road, Sudbury, superstore, of which it has a 3.1 per cent share, and Glasgow’s Crow Road West End Retail Park with a three per cent stake.
