Property Week: Hermes? 20-24 Broadwick St on sale with resi permission
Fri 06 Nov 2015
Hermes Investment Management is to sell 20-24 Broadwick Street in Londons Soho, in a move that could pavethe way for another major residential conversion in the West End.
The building comprises 22,258 sq ft of office space and ground-floor retail accommodation. It could be retainedas an office development, but does have detailed planning permission for a 24-apartment scheme with 2,500 sqft of retail at ground-floor level.
Hermes is seeking 25m for the building, which until recently was the headquarters of media company IncisiveMedia. The price for the freehold values the building at 1,123/sq ft.
The proposed residential-led scheme comprises five studios, nine one-bed, four two-bed and six three-bed flats,as well as a new brick faade, a retail unit at ground level and on-site parking in the basement.
The building sits next to Great Portland Estates redevelopment of the former St Lawrence House office and if itremains as an office a new owner could have vacant possession by 31 July 2016, when it could undertake arefurbishment.
Grade-A offices in Soho are now commanding rents of up to 85/sq ft - far higher than the average of 42.50/sqft five years ago, according to CBRE.
But residential values are also soaring, with many developers taking advantage of more lenient
office-to-residential conversion rules to transform some older office blocks.
Nearby, Peter Beckwiths PMB Holdings is redeveloping 90-104 Berwick Street to include a new hotel, 16 newhomes, improved shop units and roof terraces for neighbouring Kemp House residents.