A major Belfast office building entirely occupied by government tenants has gone on the market through CBRE for £5.75m. Oxford and Gloucester House fronts on to Chichester Street and is close to the Belfast law courts.
The Seventies building is being sold by commercial property agents CBRE on behalf of an unnamed private investor in Northern Ireland — and the agency said it anticipated a high level of interest.
Robert Ditty, senior director at CBRE, said: “Oxford and Gloucester House has been 100% occupied by government since its construction in the early Seventies.
The current lease structure produces an attractive 9.5% return and the building itself offers either an investment proposition or refurbishment opportunity over the short to medium term.”
The building is around 51,500 sq ft and has 15 on-site parking spaces. Mr Ditty said the development was a major asset due to a lack of quality offices in the city.
“Oxford & Gloucester House presents investors the opportunity to secure a significant office building to capitalise on future growth prospects forecast for Belfast offices,” he said. “With over £55m of office investment sales already transacted in 2015 representing 660,000 sq ft we expect to see a very strong levels of investor interest for this building.”
The building has two interconnected office buildings on seven floors. Other office developments which have been sold so far this year include Windsor House, which was sold for a reported £6.5m to Hastings Hotel Group for conversion into a hotel.
And Middleton Building and River House have also been sold.
And last week commercial property agents Lisney said it had been appointed to sell the historic Royal Avenue headquarters of the Belfast Telegraph, with the building to come to market next month. Lisney managing director Declan Flynn said the building could lend itself to conversion into a hotel, using the listed frontage of the building, as well as for offices and student accommodation.
Gloucester and Oxford House is marketed for sale today, while Belfast Telegraph headquarters go on sale next month.
Caption: Oxford and Gloucester House in Belfast is on the market