Henderson Global Investors’ Central London Office Fund has completed the sale of 7/8 St Martin’s Place in London’s West End for more than £33m at a net initial yield of 6.77%.

The property was bought by two Italian funds, RealEmerging and GEO Ponente, which are both managed by EstCapital, an Italian independent asset management company that specialises in closed-end real estate funds.

The 47,810 sq ft office building adjoins St Martin-in-the-Fields and is close to Trafalgar Square and other central London landmarks. The office space is let to Redwood Publishing and has six years remaining on the lease. There are also two ground level retail units which are let to the Post Office and Pret a Manger.

The acquisition of St Martin’s Place is intended to provide EstCapital’s funds with exposure to returns not currently obtainable on comparable assets in the Italian market.

Clive Castle, CLOF’s fund manager said: ‘The sale of St Martin’s Place was an opportunistic transaction which allowed us to take advantage of the renewed and strong interest we are seeing from overseas investors in acquiring London offices of this lot size. The proceeds of the sale will be reinvested to take advantage of other opportunities to create value in our fund.’

Savills advised Henderson and Cushman & Wakefield represented EstCapital.