Prestige bases on offer for £13.6m
PROPERTY investors will be circling after a prime piece of Newcastle’s Grey Street was brought to the market with an asking price of at least £13.6m.
Lloyds Court and 52-60 Grey Street has been put up for sale in a rare office and leisure opportunity on the grand street connecting the city centre with the Quayside.
The adjoining Grade II-listed buildings have 46,960sq ft of office and retail space spread over five storeys of office space with retail or leisure units on the ground floor.
Originally built in the 1930s, the building has a host of diverse tenants, including Northern Electric, Nigel Wright Consultancy, Las Iguanas and the Sk:n clinic, which contribute to a passing rent of £1.012m.
Cushman & Wakefield’s Newcastle office has been appointed to find a buyer, with offers being sought for in excess of £13.6m.
Peter Atkinson, partner in Cushman & Wakefield’s capital markets team in Newcastle said: “This is a rare opportunity to acquire one of the best-located and prestigious assets in Newcastle with significant value-add potential.”
Grey Street is widely regarded as one of the finest streets in Europe and recent years has seen the heart of Newcastle’s traditional office core undergo extensive redevelopment to provide modern, flexible office accommodation in a bid to entice a new generation of businesses.
In the last two years several prime properties have exchanged hands, resulting in businesses ranging from tech firms to restaurant operators launching Newcastle bases.
In July the Malhotra Group announced an imminent move into 42-50 Grey Street after snapping up the building in a £4m deal.
The leisure, care and property group has been based at Dav House in Cloth Market for many years but the senior team will soon move to the listed building, which is also occupied by upmarket pizza restaurant Zizzi’s.
Adderstone Group, meanwhile, completed the purchase of nearby Gainsborough House in a multi-million-pound deal, taking over the fivestorey building from former owner LRE Capital, which bought it three years ago.
The building is one of the largest office blocks on Grey Street, with more than 25,700sq ft of office and leisure space behind its Georgian facade. Tenants include recruitment company Manpower and technology business Condeco Software, which relocated from North Tyneside.