The Fishmongers’ Company
As part of ongoing rebalancing of its wider investment portfolio, Cluttons on behalf of The Fishmongers’ Company has sold the investment properties 69 and 70/72 King William Street to the Salters Company.
The deal had several interesting facets: No. 69 was multi-let but difficult to run profitably due to high unavoidable running costs. It had retail at ground floor and basement where most of its £700,000 was held.
Number 70-72 was a single let asset but was 100% over-rented with the tenant not in occupation. It required a comprehensive refurbishment for a tenant to re-occupy. Both buildings together had a total net lettable floor area of 12,185 sq ft.
The strategy for the sale proved highly successful. It was sold during the summer holiday period (June/July/August), a competitive bidding process was encouraged by a low quoting price and high net initial yield. The sale became a considerable market talking point and generated 83 inspections. This led to 38 written offers ranging from £2.5m to £4.65m. The forerunner, an owner occupier, did not have board approval from its parent company in China, and the next underbidder was The Salters.
The Salters purchased the building as it gave it good initial income for its charitable giving and will provide a home to it while its own hall near the London Wall is being redeveloped in 2013.
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