Singapore's CapitaLand has sold its majority ownership and operational control of one of South East England's largest office campuses, Arlington Business Park in Theale near Reading, CoStar News can reveal.
CapitaLand bought the 367,000 square feet of offices across 11 buildings in 2020 for £129.25 million. It appointed Newmark to sell the campus ownership with a guide of around £55 million last year.
CoStar News understands the asset has been bought by WillsFlower, the vehicle of an ultra-high-net-worth private investor, for less than the guide price. The real estate development and asset management company also owns the Urban Building in Slough and Norfolk House in Croydon.
The multilet business park is 1 mile from junction 12 of the M4 and a 10-minute walk from Theale train station. The stake comprises 11 buildings on 39 acres of landscaped grounds. Amazon has a major warehouse nearby.
The buildings are leased to 26 tenants with a contracted rent of £6,610,200 reflecting £30.80 per square foot. The buildings range in size from 20,000 to 45,000 square feet.
The weighted average lease to expiry is 7 years and 4 years to break and the vacancy rate is 30%, which comprises a mix of refurbished and refurbishment opportunities.
On-site amenities include a floating pavilion, gym, lakeside café, and golf putting green. Tenants include Amentum Clean Energy, Veritas Technology and IWG. The buildings were sold as an opportunity to purchase 100% of the shares in Luxx Arlington which was set up solely for the ownership of Arlington Park.
The office assets include Buildings 1210, 1220 and 1310.
CapitaLand bought the park in 2020 from Patron Capital and APAM.
ACRE Capital Real Estate and Asset India advised the buyer. Russell-Cooke provided legal advice. Newmark advised CapitaLand.
Hollis Hockley and Bray Fox Smith are now the retained letting agents for WillsFlower.