Huge interest in Poland Street conversion deal

The freehold of 21-22 Poland Street, Soho, W1 has been sold by Royal London Asset Management for £8.25 million to English Rose Estates.

Having secured vacant possession of all the upper parts comprising 5,300 sq ft of office space and prepared a compliant scheme of conversion to residential following a pre app process with WCC, the property was then openly marketed by Hanover Green who carried out more than 85 inspections of the building receiving over 25 offers.

The restaurant unit on the ground and basement floors which provides some 3,230 sq ft remains let for a further 20 years to B Soho at a rent of £118,000 pa with a rent review in May 2014.

Placing some £2.75 m on the restaurant which shows an initial yield of 4.0% but a potential reversionary yield of over 5.0% in May this year, would show an existing capital value on the upper floors of circa £1,000 psf.