Property investment company Rockspring have managed to set new speculative office space developments in motion.
The office space will be known as Toyon and will span 80,000 square feet at the Highbridge Park site. The site was formerly owned by Schroders and has been acquired by the Rockspring Hanover property trust.
The site was sold by Schroders for around £5 million and is expected to be leased at £32.50 per square foot. Construction of the Grade A offices will be supervised by Schroders development manager Bell Hammer.
Toyon is being hailed as a sign of improvement in the west London area. Commercial real estate company Jones Lang LaSalle carried out research that shows vacancy rates have fallen by 5% and take up is rising by 65% compared to last year.
“West London is starting to move into recovery. There is certainly a wave of optimism spreading from central London, where incentives are hardening. It is still a tenant’s market but the tipping point is coming. By 2012 we expect to see a shortage of supply in key towns such as Uxbridge,” commented Guy Parkes, head of the wester corridor at Jones Lang LaSalle.
In other office news, Irish investment company Vico Capital have put office space Sanctuary Buildings up for sale to cover debt on a Canary Wharf building.
Sanctuary Buildings has been put on the market for £180 million and the debt that has matured on the Canaray Wharf offices is believed to be around £121 million.
Vico Capital have hired Jones Lang LaSalle to market and sell the office space. Located on 14-26 Great Smith Street the offices span 270,000 square feet of space. The company originally paid £170 million for the property in 2006.