Investment bank Goldman Sachs’ River Court building is be put up for sale this week at an asking price of £300 million, according to The Financial Times.
Owned by Irish investors, the space contains an auditorium, gym and restaurants. The 425, 000 square feet London-office-space-building forms the larger part of two Fleet Street edifices that connect together creating the company’s European head office.
The building was constructed by Japanese corporation Itochu. Irish investors bought the site in 2000 at a cost of £246.5 million, which used to be the headquarters of The Daily Express newspaper. Peterborough Court, situated alongside River Court, housed The Daily Telegraph.
The owners are hoping to benefit from the speculated boom in London office prices. Figures by property advisor CB Richard Ellis show that London offices have seen an increase in values by 1.4 per cent.
However, a surplus of office space still exists in the region. Over £2 billion worth of London property is currently on the market but prime office space may still have some chance of being taken up.
Clive Castle, manager of Henderson Global Investors said: “With the lack of new Grade A space coming to the market over the next few years we will soon be approaching a period of rental growth once again”.
He continued: “We think there is a current opportunity to acquire assets in need of improvement, to conduct these improvements, and to sell into an upward moving market”.