Weybourne has acquired the virtual freehold interest in 126-127 New Bond Street for £71 million, emphasizing a long-term investment strategy in a prime London location.

Information on the Target

The recent acquisition involves the virtual freehold interest in 126-127 New Bond Street, a prime commercial property located in London's West End. This property was previously owned by a private investor based in Hong Kong, before being purchased by Weybourne for approximately £71 million. New Bond Street is recognized for its strong investment characteristics, including high occupancy rates and favorable rental growth forecasts, making it a sought-after location for long-term investors.

Industry Overview in the United Kingdom

The commercial property market in the UK has encountered ups and downs in recent times, with notable trends emerging across various sectors. In May 2024, the retail sector saw a modest annual rental growth of 0.9%, the highest since 2016. However, despite this growth, rental values remain 17% lower than their peak levels in 2018. Within this sector, retail warehousing has performed slightly better, with a 1.3% increase in rental values year to May 2024, while shopping centers have experienced a decline of 1.5% in the same period.

The office rental market shows stronger performance, particularly in central London, where average rental growth reached 2.5%. High-quality office spaces are increasingly desirable due to their role in enha