Deals show Great Portland's faith in Crossrail
Great Portland Estates is expanding its presence in London's West End, revealing this morning that it has closed deals on two properties.
It is paying £120 million in cash to Royal Mail Group for a 2.3 acre site in the heart of the tourist district between Rathbone Place and Newman Street, 50 yards north of Oxford Street.
In addition, a 50:50 joint venture the firm runs with the BP Pension Fund, called the Great Ropemaker Partnership, is paying £132.75 million for 200 and 214 Gray's Inn Road in WC1.
Both buildings are occupied by ITV, which pays £500,000 a year for the space. The broadcaster has a deal to stay in place until 2023.
Great Ropemaker is acquiring the buildings from an arm of Beacon Capital.
The prices paid are equivalent to £313 per square foot for the site near Oxford St, and £455 a square foot for the places on Gray's Inn Road.
Ben Chambers of Great Portland said of the deals: "It is in an area we expect to benefit in the medium term from the impact of the Crossrail and Thameslink projects at Farringdon, and the continued development activity around King's Cross and St Pancras."
