A private buyer has acquired the office building in a deal worth a reported AED118m
Abu Dhabi Islamic Bank (ADIB) UK, a wholly-owned subsidiary of Abu Dhabi Islamic Bank, has arranged and structured the acquisition of Lateral House, Leeds, UK, for AED 118.2 million (£24 million) on behalf of an Abu Dhabi-based private banking client.
In a move that further reflects the appeal of UK real estate, particularly in the so-called “Northern Powerhouse” belt that runs between the cities of Liverpool, Manchester and Leeds, Lateral House is 95,000 sq-ft of Grade A office space to the south of Leeds city centre – in an area that is subject to a number of ambitious redevelopment plans in the coming decade. The building was previously owned by a Germany investment trust.
“We are increasingly seeing demand from GCC-based investors for the yield provided by regional UK commercial real estate,” commented Paul Maisfield, head of real estate at ADIB UK. “While London’s long-term property investment story is well-established, cities such as Leeds are growing quickly and have commercial property providing solid rates of return. The ADIB UK team has the market knowledge and expertise to identify high-quality assets, advising clients on prospective property opportunities and structuring tailored Sharia’a-compliant financing solutions with a minimal turnaround time.”
In 2017, investment volumes across the UK’s six largest regional markets of Manchester, Birmingham, Edinburgh, Glasgow, Leeds and Bristol were the highest for over a decade. Data released by JLL shows that office investment volumes in these cities totalled AED14.3 billion in 2017, a rise of 49 percent on 2016. Manchester led the way for the year as a whole, with volumes of AED4.5 billion.
Earlier this year, ADIB arranged a structured Islamic financing transaction to fund the acquisition of The Hub, located at the Aztec West Business Park, Bristol, for AED159.4 million on behalf of a private Saudi based client.For all the latest real estate news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.