Derwent London has pre-let 84,600 sq ft in four office transactions at The White Chapel Building, representing 46% of Phase 1.
The refurbishment totalling 185,000 sq ft has attracted a range of businesses including media, professional services and shipping. The rent is £4.0m pa, 8% above December 2015 ERV with c.70% signed since the EU referendum. All are on ten-year leases, with 59% subject to a five year break and half subject to minimum rental uplifts on first review. The average rent free period is 8 months for the two leases where there are tenant breaks, rising to 17 months if no breaks are exercised.
The 8-storey White Chapel Building was acquired with vacant possession in December 2015 and the refurbishment of Phase 1 is due for completion in Q4. The majority of the remaining available space consists of the top three floors.
The building will include a new 7,000 sq ft reception area with an independent café, and an external terrace. Phase 2 will comprise predominantly the lower ground floors representing another c.85,000 sq ft of space where work could start in 2017.
John Burns, Chief Executive Officer of Derwent London, commented:
“We are very pleased to introduce four new occupiers to our portfolio, three of which signed leases after the EU referendum. Their broad spread of activities and commitment is an endorsement of our strategy of creating a mid-market rental product in this significantly improved area on the eastern side of the City and the Tech Belt.”
Derwent London’s letting agents on The White Chapel Building are BNP Paribas, Colliers and Cushman & Wakefield.