Investment Summary
A £36.2m acquisition of a Grade A office building.
Let to Eagle Star on a full repairing and insuring lease with over 17 years unexpired.
Located on the outskirts of Cheltenham, a large and prosperous town.
Excellent transport links, with the M4, M5 and M40 all within easy reach.
The Property
Situated at Bishop’s Cleeve on the outskirts of Cheltenham, the property comprises a Grade A headquarters office building – purpose built for the tenant in 1992 – together with a converted and refurbished period mansion and coach house.
Totalling circa 180,000 square feet, with car parking for just over 1000 cars, the property sits on a site of 14.7 acres. In addition to office space, the property offers a small gymnasium and an extensive restaurant area.
The property was let to Eagle Star, one of the UK’s leading insurance companies, on a full repairing and insuring lease with just over 17 years unexpired.
Investment Structure
The property was purchased by SI Limited Partnership No 3, a UK limited partnership. SI successfully raised £8.6m of investor equity, with the remainder of the funding provided by a bank loan from HBOS.
Sold in July 2006 for £39.1m, SI Limited Partnership No 3 provided an investor return of 30% in 19 months.
The Information Memorandum for SI Limited Partnership No 3 can be accessed from our Introducers Area.