Landmark offices building is for sale at a bargain £750k

An unholy trinity impacting older Aberdeen offices has been blamed for the cut-price of the latest west end landmark to hit the market.

Carden Church, a four-floor conversion in Aberdeen’s Carden Place, is being sold for £750,000, plus VAT.

The oversupply of high quality office space, decline in oil and gas and a 40% hike in business rates on listed properties last year were blamed for the price tag.

Carden Church is nearly fully occupied and is being sold as an investment opportunity – it makes more than £200,000 a year in rents. For John Buchan, director with building owners MGA Architecture, that makes it the right time to sell.

The firm bought the B-listed, former Carden-Melville Church in 1990. Its lower ground floor, which is self-contained with an entrance off Albert Street, was developed as their HQ.

The floors above, linked by a spiral staircase, became the long-term home of Anderson Anderson and Brown in the years of award-winning redevelopment that followed.

Company founder Michael Gilmour died in 2017 – now his wife Hilary and Mr Buchan think it’s time to step back from managing commercial property.

Mr Buchan told The P&J: “After 34 years, we are selling. We are getting old.

“I am coming up to 65 and she’s over 70.

“The building is almost fully let with years left on tenants’ leases so it is a good time to sell when there is rental income coming in.

“And it is being sold almost full, for that money it could basically be held on to as an investment.”

But he would have got a far greater price only a few years ago.

A “glut” of high quality office development in Aberdeen city centre has drawn demand away from the west end.

“The decline in the local economy and the supply of new high-grade offices on Union Street has had an effect on rents – and that has an effect on the valuation,” Mr Buchan added.

“The valuation is a lot less than it would have been five years ago. But west end offices have reduced in value.”

Over the past few years, more and more developers are have been turning empty west end office buildings back into housing.

“There is less demand, which has been addressed by the council with their listed building business rates policy, encouraging change of use to residential.

“I am sure the west end buildings will make nice homes, as they did in the 19th Century when they were first built.”

RENTAL INCOME: Less demand for high quality office space in Aberdeen’s west end.

Former church was an award-winning redevelopment.