ABN AMRO and Royal Bank of Canada Guernsey headquarters sold for £60.65m
Iconic Guernsey investment opportunity acquired by overseas investor
A fund advised by Brockton Capital has completed the sale of the freehold investment of Martello Court and Dorey Court in Guernsey to an overseas investor for £60.65m, reflecting a net initial yield of 6.40%.
Martello Court and Dorey Court are two of the premier office buildings in the Channel Islands, prominently located in the island’s capital St Peter Port and providing 89,100 sq ft of Grade A office.
The freehold assets are multi-let and benefit from a relatively rare WAULT of 13.5 years providing a strong and diverse income profile with tenants including ABN AMRO, Aon, Investec and the Royal Bank of Canada.
Guernsey is regarded as one of the world’s leading offshore financial centres with a Standard & Poor’s credit rating of AA-/A-1+ and a GDP of £3.05 billion (2017). Guernsey also has a special relationship with the European Union (EU) which means it is within the Common Customs Area and the Common External Tariff.
Noel Lander, Director at JLL said: “The sale of Martello Court and Dorey Court demonstrates the appeal of the Channel Islands investment market which offers a significant premium to major UK & European cap rates and the potential to deliver attractive cash on cash returns.”
Max Bassadone, Director at Brockton, said: “We are pleased to announce this off-market transaction which marks the end of a highly successful investment for Brockton ensuring considerable value accretion for our investors. Throughout our investment period, we have successfully delivered our original business plan which included a comprehensive refurbishment of Dorey Court and securing new tenants RBC, Investec and Aon Insurance, with zero void and achieving a record rent for Guernsey of £43.50psf.”
JLL, Savills and Mourant Ozannes advised the vendor, the purchaser was advised by Carey Olsen.
JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. Our vision is to reimagine the world of real estate, creating rewarding opportunities and amazing spaces where people can achieve their ambitions. In doing so, we will build a better tomorrow for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $16.3 billion, operations in over 80 countries and a global workforce of over 90,000 as of December 31, 2018. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.co.uk