In a show of confidence in London’s property market, the real estate arm of UBS has bought a former spice warehouse in London’s Butler’s Wharf from LaSalle Investment Management.
The Swiss financial services firm bought India House, a six-floor office development, in a bid to own a piece of the dynamic Southbank precinct, which has seen a huge amount of regeneration in the past 20 years.
Howard Meaney, head of UBS’s Global Real Estate said that “this latest acquisition reaffirms our confidence in the strength and resilience of the market.”
“Our investment comes at an opportune time of low vacancy rates for quality office space across the vibrant Southbank area.”
The £28.4m property is currently fully let to six tenants. Vacancy rates in Zone 1 are at just 3 per cent, making in-demand office space an attractive prospect for property owners.
The neighbourhood will also see further regeneration in the next few years, and a number of high-profile developments. These include Zaha Hadid’s conversion of the former Design Museum site and WilkinsonEyre’s two proposed towers on Blackfriars Road.
In addition to its location, the 37,988 sq ft property has major curb appeal. Converted in 2000 into open-plan office space, the former warehouse boasts a distinctive painted frontage, a newly renovated reception space, and its own on-site showers.