HFD to sell CityPark1 in Aberdeen
HFD Property Group has concluded a deal to sell its CityPark1 office development in Aberdeen to LCN Capital Partners for around GBP80 million.
The 216,000 sq ft office, with its highly efficient, extensive 54,000 sq ft floorplates, was pre-let to Wood and completed in January 2016. Wood will continue to lease the property post completion of transfer of ownership.
In addition to the development’s occupational efficiency, the building benefits from a range of energy efficient and sustainability features, including rainwater harvesting, LED lighting and low carbon technologies for air-conditioning, heating and cooling. CityPark1 achieved a ‘Very Good’ BREEAM rating and a highly energy efficient ‘A’ rated Energy Performance Certificate.
The disposal represents a successful development exit for HFD and transfer of a high-quality investment asset to LCN Capital Partners.
Stephen Lewis, Managing Director of HFD Property Group, says: “The sale of one of our developments is always a bittersweet moment for HFD. Whilst we’ll exit our ownership of the building, our long-term relationship with Wood continues as an occupier of other accommodation within our portfolio. We’ve known LCN for some time and are delighted to assist the business with another successful Aberdeen acquisition for one of their funds.”
Edward LaPuma, Co-Founder of LCN Capital Partners, adds: “With more than GBP6 million of rental income per annum for the next 15 years, CityPark1 will provide our latest fund with secure, long-term income to a strong covenant in Wood. We continue to seek high quality single let, critical corporate property across the UK and Europe to add to our portfolio in our recently raised European Fund III.”
HFD was represented by Avison Young and LCN Capital Partners was represented by Cushman & Wakefield.