TR Property Investment Trust has sold its Park Place, London SW8 property for GBP14.47m in a deal that will see the trust make a 70 per cent return on the asset.
Previously a Victorian laundry converted to offices in the 1980s, Park Place was originally purchased for GBP8.25m in 2011 as commercial space and received permission to be converted to residential in October 2013.
The trust has also been granted planning permission to extend and redevelop at its largest asset, The Colonnades, London W2, which will result in an additional 16,000 sq. ft. of new retail space and a remodelled 40,000 sq. ft. supermarket.
Marcus Phayre-Mudge, fund manager of TR Property Investment Trust plc, says: “Whilst this has been another strong year for property equities, particularly in the UK, we are very pleased to report tremendous results from our physical assets. Our London focused property portfolio delivered a total return of 37.5 per cent in the year. A successful marketing campaign has resulted in a final sale price four per cent ahead of the independent March 2014 valuation.”
George Gay, direct property fund manager, says: “The approval of our planning application [at The Colonnades] and the pre-let to a major supermarket operator is the culmination of a detailed business plan over a long period of time. The new development will not only double the size of the existing supermarket but will also create a remodelled and revitalised retail pitch for Bayswater. We are excited about delivering this project over the coming 18 months and transforming the commercial element of the Colonnades.”