Cordea Savills sells £47.97m City building


International property investment manager Cordea Savills has announced a £47.97m (€63.78m) sale of a City of London office building on behalf of its European Commercial Fund to a French pension fund.

The European Commercial Fund completed its initial investment phase in 2014 at total investment volume of more than €750m invested in 20 properties, it aims to achieve a stable contribution of 5% per annum.

Gerhard Lehner, head of Portfolio Management, Germany, at Cordea Savills commented: “With the sale of this property the fund is realising a value gain of more than 40%. This is the fruit of active Asset Management but does also anticipate future rental growth perspectives. For the reinvestment of the returned equity we have already identified suitable core office properties.”

Kiran Patel, CIO at Cordea Savills  adds: “The sale of Camomile Court adds to the £370m portfolio disposal early in the year.  Together with a number of other asset sales, our total UK transaction activity since January stands at £450m.  At this stage of the cycle, we believe there is merit in banking performance and taking advantage of some of the strong demand for assets in the market.”