CLS Holdings buys London office site for £51m

CLS said it had exchanged contracts to acquire Harman House in Uxbridge for £51m including costs.

The property comprises 129,060 sq. ft. (11,990 sqm) of office space arranged over nine floors which, with an occupancy rate of 98%, and currently generates an annual rental income of £3.52m, producing a net initial yield for CLS of 6.9%, the company said.

The property has a reversionary rent profile with an estimated yield of 7.8% based on market rents, CLS added.

"Harman House was extensively refurbished in 2014 and has a diversified tenant base, providing a stable income from 10 tenants and a weighted average unexpired lease term of 7.9 years (or 5.8 years to first break)," it said.

CLS said the transaction will be financed from existing cash resources.