Edinburgh’s The Mint Building swallowed before completion
A major office building in the centre of Edinburgh has been sold months before it is due to be completed.
Hines, the global property firm, has agreed to forward purchase the 60,000 square foot The Mint Building on St Andrew Square on behalf of its European Core Fund – HECF.
The building, which will be completed in early 2019 and is already pre-let on a 15-year lease, has been acquired from Edinburgh-based property development and investment company Chris Stewart Group for an undisclosed sum.
The Hoskins Architectsdesigned building provides Grade A office space across seven levels, with the upper floors offering panoramic views of the city.
Its ground floor comprises three retail units, two of which have already been let with contemporary Chinese restaurant Tattu opening its fourth UK restaurant in the building, alongside pizzeria brand Franco Manca.
Jake Walsh, director, Hines UK, said: “This development provides us with an excellent opportunity to grow our portfolio of office and retail properties in Scotland.
“Edinburgh is one of the fastest growing cities in the UK and has the strongest economy outside London. The quality of the asset and its prime location meet our exacting investment criteria, and we look forward to the building’s completion and full occupation early next year.”
Chris Stewart, chief executive of Chris Stewart Group, said: “The deal with Hines and its European Core Fund is a ringing endorsement of the quality and design of the Mint Building, alongside our approach to urban development.
“It puts the building on a par with the best in Europe, attracting top tier investment and for Edinburgh and Scotland it justifies the outward looking and ambitious development strategy we continue to pursue.”
Peter Epping, senior managing director and HECF fund manager, added: “The Mint is an exceptional building with bestin-class specifications.
“We will continue to pursue further strategic acquisition opportunities with such strong fundamentals.”
The deal represents HECF’S fourth acquisition in the last 12 months, following new investments completed in Dublin, Amsterdam and Copenhagen.
The portfolio of the fund is currently invested in eight European countries with a current aggregate value close to €1.2 billion (£1.05bn).
Hines UK has advised on more than four million square feet of projects acquired, completed or in the pipeline with a total portfolio under management in excess of £2bn.