(LONDON) – Hines, the international real estate firm, announced today that it has secured the freehold acquisition of a seven-storey retail and office building on Princes Street in Edinburgh city centre, on behalf of the Hines Pan-European Core Fund (HECF).
124-125 Princes Street comprises 38,500 sq ft of prime retail and office space, and has been purchased from F&C Commercial Property Trust.
124 Princes Street is let to Urban Outfitters and has recently been extensively refurbished and fitted out in the tenants corporate style. The unit comprises 15,000 sq ft of modern, well configured retail space spread over ground, basement and mezzanine levels.
125 Princess Street provides 23,500 sq ft of high quality office space and is fully occupied, with tenants including RICS, the Chartered Institute of Housing, MBM Commercial and BDG Design Limited.
Anthony Leonard, managing director, Hines UK, said, “The quality of the building, its excellent location and diverse income profile from both retail and office tenants make this asset a compelling proposition for the Fund. This acquisition also represents a further advance into the retail sector, an area in which we are growing our portfolio of assets under management.”
Steven Newlands, Partner, Capital Markets Group for Cushman & Wakefield in Scotland, marketed the building for F&C Commercial Property Trust. He said: “It is rare for buildings of this quality in an iconic location such as Princes Street to come on the market. 124-125 Princes Street has performed well for F&C since they purchased it over a decade ago and I am sure it will be a terrific investment for HECF.”
The building boasts panoramic views of the historic Edinburgh Castle, and is surrounded by brands such as New Look, Waterstones, HSBC and Phones 4 U and sits within the heart of Edinburgh’s “Golden Rectangle” – the city’s prime office location focused around George Street and Princes Street and bounded by Charlotte Square to the west and St Andrew Square to the east.
HECF is a Euro-denominated, Luxembourg-regulated Fonds de Commun de Placement (FCP-FIS) managed by Hines and created to acquire a geographically diverse portfolio of core commercial buildings across Europe.
In December 2014 Hines advised on the acquisition of The Centre shopping centre in Livingston, Scotland, by HSBC Alternative Investments Limited (HAIL). Hines UK has advised on more than four million square feet of projects acquired, completed or in the pipeline in the UK with a total UK portfolio under management valued at in excess of £2.1 billion. The company’s UK portfolio of assets under management includes Livingston, Broadgate Quarter, Cannon Place, One Bartholomew Lane, Sixty London and 25 Cabot Square.
JLL acted for Hines, Cushman & Wakefield represented F&C Commercial Property Trust.
Hines is a privately owned global real estate investment firm founded in 1957 with locations in 185 cities in 19 countries. Hines has $84.9 billion of assets under management, including $42.7 billion for which Hines provides fiduciary investment management services, and $42.2 billion for which Hines provides third-party property-level services. In 2014, Hines completed over $8 billion in transactions on behalf of its investment management clients. The firm has 104 developments currently underway around the world. Historically, Hines has developed, redeveloped or acquired more than 1,000 properties, totalling over 339 million square feet. The firm’s current property and asset management portfolio includes 511 properties, representing over 176 million square feet. With extensive experience in investments across the risk spectrum and all property types, and a pioneering commitment to sustainability, Hines is one of the largest and most-respected real estate organizations in the world. Visit www.hines.com for more information.
About Cushman & Wakefield
Cushman & Wakefield advises and represents clients on all aspects of property occupancy and investment. Founded in 1917, it has 248 offices in 58 countries, employing more than 16,000 professionals. It offers a complete range of services to its occupier and investor clients for all property types, including leasing, sales and acquisitions, equity, debt and structured finance, corporate finance and investment banking, appraisal, consulting, corporate services, and property, facilities, project and risk management.