Hortons’ Estate has sold Innovation Square, Birmingham, for £20.5million.
The mixed use development, on the corner of Edmund Street and Church Street in the city centre, has been acquired by DTZ Investors on behalf of the National Grid UK Pension Scheme.
Hortons’, a family-owned property company, acquired the building in 1999, redeveloping it in 2000.
The development comprises 45,000 sq ft of offices, with tenants including Savills and Mace, and five retail units, let to bar/restaurant Utopia, Urban Coffee, Benjamin Ryan Hair, Clements & Church and Home. There are six apartments.
Tony Green, chief executive at Hortons’ said: “Hortons’ has not divested of any of its city centre holdings for many years, but this unsolicited approach was quite timely as we were planning an upgrade at the building. As the offer was also very good, reflecting the demand for good investment stock in Birmingham, we took the opportunity to sell.”
The deal reflects a net initial yield of 4.3 per cent.
BNP Paribas Real Estate advised DTZ Investors on the deal.