British Land has completed the sale of a £115m office scheme at Regent's Place to its tenant Abbey.
It has sold 2-3 Triton Square, Regent’s Place in London to the Grupo Santander owned Abbey for £115m, reflecting a net initial yield of 7.2%.
The 200,000 sq ft grade A office building was developed by British Land in 2002 and is let to Abbey on a lease expiring in April 2022. The current passing rent is £8.68m a year.
Tim Roberts, director of British Land and head of offices, said: 'As well as being a significant occupier at Regent’s Place, Abbey will now become an important stakeholder in this 13 acre estate. We remain committed to Regent’s Place and will complete our latest, high-class office developments - Regent’s Place One and Regent’s Place Two - later this year. The sale is in line with our strategy to recycle capital towards opportunities which will offer greater risk adjusted returns in the future.'
Jones Lang LaSalle advised British Land.