Hong Kong’s Kingboard to acquire commercial building in London for £293m

Hong Kong's Kingboard to acquire commercial building in London for £293m

Hong Kong-based investment company Kingboard Holdings has agreed to acquire a commercial building, 2 London Wall Place, in London, from Brookfield for £293.6 million (approximately HKD2,809.6 million).

The property is a 16-storey commercial building located at Central London, two-minute walk away from the Moorgate station, which provides 187,200 sq. ft. of Grade A office accommodation and 1,500 sq. ft. of retail space.

Kingboard said 96% of the leasable area of the office space and 100% of the retail space of the property is currently being leased out, generating total annual gross rental income of approximately £12.9 million (equivalent to approximately HKD123.4 million).

”The Group has been identifying quality properties for acquisition to increase its property investment portfolio and to enhance the Group’s capacity in generating rental income which the board believes to be a stable and reasonable return in the current market situation. Taking into account the location, quality and occupancy rate of the property, the board considers that the acquisition is in line with the business strategies of the group and is in the interests of the Company and its shareholders as a whole,” said the company in a statement.