Iconic St Paul’s House, Leeds Sold for £23.7 million

Boultbee Brooks Real Estate (BBRE) has announced the sale of St Paul’s House, one of Leed’s most iconic office buildings, for £23.7m, representing a 6% net initial yield.
The 65,000 sq ft magnificent Grade II*listed building was purchased by Michael and Steven Elghanayan’s London-based property investment company EPIC UK in an off market deal, following completion of BBRE’s comprehensive refurbishment and 24,000 sq ft letting to DAC Beachcroft LLP.
James Whitcher at BBRE commented, “We are delighted to have restored St Paul’s House to its former glory. The disposal to EPIC has allowed us to achieve a very attractive return on our investment that was not only ahead of business plan but also fully justifies the speculative costs we incurred in the comprehensive refurbishment of the property. As with all our disposals, we will now look to opportunistically re-invest the proceeds of the sale into new projects as and when they arise.”
Michael Elghanayan of EPIC UK said: “We are very proud indeed to have acquired one of the most magnificent office buildings in the city of Leeds. Following its extensive and sensitive refurbishment, we believe St Paul’s House is a very attractive investment, given its superb location, excellent facilities, including parking, and impressive occupiers.”
Commenting on the disposal, Robert Cannock of Aurum Real Estate who advises BBRE said “we acquired St Pauls House for BBRE two years ago with the intention of repositioning the property within the Leeds office market and creating an investment of Institutional standard that would then appeal to a long term investor. Having completed the refurbishment and achieved the key letting to DAC Beachcroft, we were pleased to receive a couple of strong approaches from interested investors and we were very happy to agree the sale to EPIC, as they have an excellent reputation and track record of performance.”
Graham Foxton, investment partner with Knight Frank, commented: “We are thrilled to have acquired a great Leeds landmark and arguably the most striking building in the city centre for EPIC UK following a lengthy search for the right asset in Leeds. “It boasts a high-quality Grade A office specification internally which, when combined with the stunning exterior façade and its unrivalled location, offers one of the most attractive working environments in Leeds. Boultbee Brooks did a wonderful job”.
Aurum Real Estate advised BBRE. Knight Frank Leeds Office advised EPIC UK.