Martin's buys Oxford offices

By Paul Norman - Wednesday, January 10, 2018 10:09

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Martin’s Properties, the UK property investment and development company, has completed the off-market acquisition of Buxton Court in Oxford from Aviva Investors for £6.625m.

The 19,696 sq ft Grade-A office building with 73 parking spaces is let to The University of Oxford for a further 12.7 years with a break in 7.7 years. It is occupied by Oxford University Innovation, which is responsible for offering commercial skills and a range of specialist resources to capitalise on the University’s research impact.

The acquisition is Martin’s Properties first acquisition in Oxford as it continues to diversify its portfolio with new investment and development opportunities across all sectors in Prime Central London and regional Southern England.

The property was acquired from Aviva Investors for a £6,625,000, reflecting a net initial yield of 5.43% and a capital value of £336 per sq ft. The passing rent is £383,916 pa., reflecting an overall rent of £19.50 per sq ft.

Richard Bourne, Property Director at Martin’s Properties, said: "Buxton Court is an exciting proposition for us as it delivers on all the key fundamentals. The building is exceptionally well located, being within walking distance to the rail station and city centre amenities aswell as offering easy access to the A34 ring road. The city has enjoyed the strongest half year take up on record, which combined with severe stock shortages, has led prime rents to reach £30.00 per sq ft.

"This imbalance of supply and demand for office space offers a great opportunity for us to deliver performance. Oxford also represents a real growth area for innovation and technology businesses and we are proud to welcome The University of Oxford as one of our valued customers."

Tom Martin, Managing Director of Martin’s Properties, said: "This acquisition builds on our strategy to diversify our portfolio into areas with good rental and capital growth potential enabling us to deploy more of our cash into strong markets, towns and assets such as Buxton Court."

Cushman & Wakefield acted for Aviva Investors. ACRE acted for Martin’s Properties.

pnorman@costar.co.uk

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