GPE secures largest Fully Managed office deal with Next
Why we think this is good
This RNS announcement from GPE appears to be a positive update, with the company securing its largest ever 'Fully Managed' office space deal, letting over 11,500 sq ft to FTSE 100 retailer Next. The letting is on a 5-year term and at rents ahead of estimated rental value (ERV), demonstrating the strong demand for GPE's premium office spaces. The rapid leasing momentum, with 24,500 sq ft let in just 3 months at an average rent 5.45% above ERV, further highlights the appeal of the newly refurbished Alfred Place building. Overall, this is a solid operational update for GPE, with no major red flags or concerns identified.
Key Points
- GPE secures largest ever 'Fully Managed' office deal, letting over 11,500 sq ft to FTSE 100 retailer Next
- The space has been let on a 5-year term, ahead of estimated rental value (ERV)
- In 3 months since launch, GPE has let 24,500 sq ft in the building at an average rent 5.45% ahead of ERV
- Only 5 offices remain available, with strong interest
Summary
Great Portland Estates (GPE) has announced its largest ever 'Fully Managed' office space deal, letting over 11,500 sq ft to FTSE 100 retailer Next at its newly refurbished 31 Alfred Place building in Fitzrovia. The space has been let on a 5-year term, ahead of estimated rental value (ERV).
In the three months since launch, GPE has let 24,500 sq ft in the building at an average rent of £209 per sq ft, some 5.45% ahead of ERV. With an additional 2,500 sq ft under offer, only five offices are still available, which are already receiving strong interest.