Invista - Croydon, Mott MacDonald House, 8 -10 Sydenham Road

Date: 05 Mar 2010

Invista purchase office in Croydon for £13.75 million, with yield of 9.5%

Invista Real Estate Investment Management ("Invista"), on behalf of its clients, announces that it has completed the purchases of three office assets located in Croydon, Coventry and Dartford, for approximately £38 million.

Croydon
Invista has purchased Mott MacDonald House in Croydon from Rishon Properties, for a total consideration of £13.75 million, reflecting a net initial yield of 9.5%. The office building, which is located near to East Croydon Station at 8-10 Sydenham Road, comprises circa 64,000 sq ft of space and is let to engineering and development company Mott MacDonald.
Following, the acquisition Invista has secured a lease re-gear for 15 years to existing tenant Mott Macdonald at a rent of £1,237,500 (£19.25 psf). The regear has been immediately reflected in a 13.45% uplift in the valuation of the asset.

Duncan Owen, Chief Executive Officer at Invista, stated: "Our current focus is illustrated by purchases we have made in less "fashionable" sectors, which we feel are being less affected by some of the overcorrection being caused by the surge in appetite for real estate and therefore still provide opportunities for us to deliver value on behalf of our clients."

Mott MacDonald House

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