Main Menu

Property round-up

Aberdeen office sale hopes | St Enoch lettings

Aberdeen’s Talisman House has been put on the market amid hopes that it could be the biggest deal in the city since the Covid-19 pandemic began.

APAM – the UK real estate asset and investment manager – has instructed Knight Frank to market the 21-year-old offices for £19.5 million, reflecting a net-initial-yield of 11.77%.

A deal at that price would trump the sale of Neptune Energy’s headquarters in the city earlier this year, which was marketed for £15.25 million.

Comprising of more than 96,000 sq. ft. over six storeys, Talisman House is let in its entirety to Repsol Sinopec Energy UK. Sinopec and Repsol acquired stakes in Talisman Energy – the original occupier of the building – in separate deals during 2012 and 2015, respectively. 

St Enoch openings

Glasgow’s St Enoch Centre has welcomed three openings from TJ Hughes, Bishopbriggs-based Indian restaurant Delhi Darbar and a second outlet for Nando’s.

The new arrivals complement the growing list of operators renewing or signing new leases at the shopping mall, which recently underwent a £40m redevelopment.

TJ Hughes has signed a 15-year lease and will occupy the 36,000 sq ft former BHS site on the ground floor of the centre and will deliver a retail anchor at the eastern end of the scheme.

Property market picks up

Scotland’s commercial property market has begun on its road to recovery from the Covid-19 pandemic, buoyed by investor appetite for industrial and retail warehousing assets, according to new analysis from Knight Frank.

Its research found that £1.2 billion has been invested in Scottish commercial property in the first three quarters of 2021, up one-fifth (20.78%) on the equivalent period last year. Investors spent nearly £1.7bn during the same nine months in 2019.

Overseas investors remained the most active buyers of commercial real estate in Scotland, accounting for just over £500m – or 41.81% – of overall volumes. Private property companies represented another £322m, equivalent to just over one-quarter (26.77%) of total investment.

Industrial property and retail warehousing have been the stand-out investment performers in 2021, with volumes outpacing the equivalent periods in both 2019 and 2020.

The industrial sector has attracted £259m of investment in the last nine months, more than double 2019’s £109m and 2020’s £112m.

Retail warehousing accounted for £232m in the first three quarters of 2021, compared to £213m in 2019 and £117m in 2020. 

Offices saw £293m worth of deals in the nine months to the end of September 2021, up on £240m during the same period last year, but still below £575m in 2019. Investment volumes in leisure property – such as restaurants and cafes – was just £27m, marginally up on the £20m registered last year, but significantly down on 2019’s £135m.

Museum and hotel plans submitted

Plans have been submitted for a £33.8m leisure-led development at West Kinfauns, Perthshire, proposed in January this year by Morris Leslie Group.

The development aims to include a four-star hotel, lodge-style cabins, a museum that will tell the story of transport and vehicles over the last century.

Facilities manager appointed

Frasers Property UK has appointed commercial property management specialist MAPP to handle all facilities and property management services at Hillington Park, near Glasgow. 

The appointment, which consolidates property management services across Frasers Property’s UK business parks portfolio, comes on the back of several recent development announcements at Hillington Park.

These include completion dates for the 133,000 sq ft West 100 & 200 project and the start of the £1.9m redevelopment of warehousing facilities at Carnegie Road. 

Leave a Reply

Your email address will not be published. Required fields are marked as *

This site uses Akismet to reduce spam. Learn how your comment data is processed.