helborn Asset Management has sold the historic Liverpool office building, Exchange Flags, for £68m.
Acquired by Ashtrom Properties UK at a net yield of 7.67%, Exchange Flags provides a total of 359,558 sq ft, comprising 313,263 sq ft of high quality office space, 27,980 sq ft of retail and leisure accommodation and an 18,315 sq ft museum.
Situated in the heart of Liverpool City Centre, Exchange Flags is located between the established business districts of Castle Street and Old Hall Street, a short walk to Liverpool ONE shopping centre and Moorefields train station.
The Grade II-listed building is multi-let to tenants, including The Secretary of State for Defence, Brabners LLP, Jackson Canter, Regus, DLA Piper and Brookes Bell LLP.
Once home to the Royal Navy, the Air Force and the Marines during World War II, the bunker at Exchange Flags is open to the public as a memorial museum.
Knight Frank represented Shelborn Asset Management. Parkdales and Mason Owen represented Ashtrom Properties UK.
Joshua Morris, Partner at Knight Frank, commented: “We are delighted to have acted for Shelborn Asset Management on the sale of Exchange Flags. The building represents a hugely unique investment opportunity. Headline rents for Exchange Flags currently stand at £17 per sq ft and are only expected to grow given the city’s strong supply-demand dynamics and the acute lack of good quality office space in the city centre.”
Brian Rabinowitz, Director at Shelborn Asset Management, commented: “This sale is testament to the strength of Exchange Flags as a landmark asset and demand across the current Liverpool office market. Much more than just an office building, this is a significant landmark within the heart of the city.”
Guy Lewinsohn, CEO at Ashtrom Properties UK commented: “Exchange Flags is an outstanding property and fittingly marks our debut acquisition in the UK. We see a bright future for the Liverpool commercial office market and plan to acquire more properties of similar characteristics as we continue to grow our portfolio in the UK.”
